Interesting article on why steam stopped accepting crypto

Discussion in 'Crypto Forum' started by TomB16, Feb 27, 2022.

  1. TomB16

    TomB16 Well-Known Member

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    #1 TomB16, Feb 27, 2022
    Last edited: Feb 27, 2022
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  2. StockJock-e

    StockJock-e Brew Master
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    Im confused by what Gabe meant by calling 50% of the transactions "fraudulent"?

    Did the transaction complete or not? Once the money is moved from the buyer to the seller, what is fraudulent?

    The source of the funds?
     
  3. TomB16

    TomB16 Well-Known Member

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    I don't understand, either. If the transactions happened with defaulted payment, I don't see how Bitcoin can have any value at all.

    On the other hand, I've heard that transactions are often stalled for a couple of minutes to confirm the transfer of currency. Perhaps these were spoof transactions that had to be backed out?

    It doesn't sound like Steam took much of a loss but I have no firsthand knowledge. All I know is I don't fully trust cash and don't trust Bitcoin at all.
     
  4. StockJock-e

    StockJock-e Brew Master
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    The transactions can not default. Once you get a confirmation its done.
     
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  5. TomB16

    TomB16 Well-Known Member

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    Bitcoin is fundamentally peer to peer in nature. It doesn't operate like the middleware of my era in banking systems, where a transaction was requested and then confirmed so everyone knew the transaction was finalized.

    With Bitcoin, it is possible to perform two transactions on the same coin at the same time. This will cause the P2P network to perform an arbitration and reject one of the transactions. I don't recall the specific details of the mechanism. I did a bunch of reading several years ago but have never cared about Bitcoin ownership so have not retained that knowledge.

    This is why BTC transactions are often slow, as they are waiting for propagation through the block chain to gain confidence.
     

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