Quote:
Originally Posted by karl262
It's much easier to steal/hack credit card info than a wallet seed phrase.
It's great that credit cards have the built in protections that they do and all they ask in return are very reasonable interest rates up to 30% and ~4% merchant fees. Thanks Mastercard!
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If you are paying interest on your credit card you are using them wrong, you should never hold a balance (unless it's 0% interest on a CC), also ~4% is quite the exaggeration.
Mastercard is 1.55-2.6%
Visa is 1.43-2.4%
American Express is 2.5-3.5%
Also if someone illegally uses my credit card the transaction is reversed, I had a restaurant that I visited here in Calgary charge my card at the start of COVID and the charges were gone within 48-hours.
If someone steals my CC (or debit card), I lose nothing, if someone hacks my wallet I lose everything.
Another risk factor to crypto, if I lose my passphrase, I lose everything. If I lose my pin to my CC, I contact them, they ID me and they reset my PIN.
From a pure risk calculation, the 1.43% to 3.5% isn't that expensive to not take the risk with my own personal currency, actually, I don't use my debit card anymore (except at one shop) because of this risk calculation. Also, it's not like crypto doesn't have transaction fees, if I want to buy lunch with ethereum the current transaction fees over the last two months on $20 bucks would be 5-50%.
Something interesting is doing bulk transfers into a CC that is backed by crypto, but then you're paying your CC transaction fees, you are just changing your currency from FIAT to Crypto.