TO ALL:
I found some interesting articles this weekend pertaining to on-line gaming, E-commerce and credit card fraud. They make for some VERY interesting reading. They also serve to illuminate the reasoning, from both the consumers and merchants position, for the necessity of a centralized debit transaction system as provided by WINR.
casinowire.com
igcouncil.org
Please read these links in the order presented to get a full grasp of the situation at hand.
Basically, what is happening, is that there are small groups of credit card frauds (criminals commiting internet credit fraud, who would have thunk it) jamming individual gaming sites, and bilking them for rather hefty sums. These links are the response that one would expect. Internet commerce and gaming sites banding together to "share" your "secure" credit information on every transaction you make through a central clearing house all in the name of "risk management"!
Here is a quote from the second link......" Merchants will reference the database to assess consumer credit risks associated with perspective purchase transactions. Participating merchants will contribute credit card and other non-credit card purchase data to form a central "pool" of aggregated reference data. In determining associated risks of a particular pending on-line Internet transaction, the incoming transaction data will be refrenced against the "pooled" central database of previously experienced credit card transaction records. Any negative credit experiences associated with a particular card or cardholder, including fraudulant activity patterns and excessive credit card transaction chargebacks are then flagged on the card record. If that card record is seen again, the next merchant will have the benefit of all previous merchant experience with the card or cardholder."
Does the term "Big Brother" come to mind? While your individual credit transactions are, and will remain to be, very "secure" on the internet, just how private are they? This is exactly why I feel the WINR system will eventually be a huge success. Since the only real "credit" transaction that takes place is between the consumer and WINR, the merchant bears none of the "credit fraud" onus, as this is placed squarely on WINRs back. As a consumer I can feel comfortable knowing I make only one credit transaction that allows me the freedom to purchase or gamble all over the globe, without fear of my "credit and non-credit related data" being shared with every entity with which I choose to do business. How many people will be "flagged" improperly for charge-backs or aliases to close to a frauds, or just bad data. I can see a deluge of "credit denied" and "bad credit rating" statements being issued on bad or mis-interpreted data. This is just one example of why I reason that a goodly percentage of people worldwide will have need of the privacy and security of a centralized, yet global, debit account through which to transact their internet business. It just makes cents!
Best Wishes,
Swedelo |
