Bitcoin Forum

Seattle-based iPayYou has launched a new bitcoin wallet with multiple features, including the ability to cancel transactions. Would this prove to be a hit among users?
The website : https://www.ipayyou.io/ & the article : http://cointelegraph.com/news/ipayyou-launches-new-bitcoin-wallet-with-ability-to-cancel-transactions

took this from the link.


so apparently they're going to double spend the canceled transactions and pray to god that the second transaction will be confirmed faster than the first.

2048 bit certificates, while it may be enough, why couldn't they have gone with 4096 bit?

I still don't quite understand how the cancellation of transaction works as the article didn't provide much information about it, or maybe my comprehension is just really that bad. I personally do think this may pose a threat to merchants when receiving bitcoins such like the chargeback feature in PayPal. Although I'm sure that those two are entirely different.

Although it seems interesting, the following are my insights:

1. It's based on Seattle therefor like every other american brand, it restricts certain countries to use it (all american finance related sites do this).
2. It seems transactions will be handled manually by a person, instead of a automated procedure since transactions are done via email or text so it most likely slower than others.
3. I like their "Withdraw to your bank account" option but there wasn't any information about the percentage they will be charging for this.
4. I like and don't like "Lock your price" feature due to, if someone asks to be paid in BTCitcoin alone and not in certain amount of $, could end up not getting what they wanted but on the other side is good as well for those that intend to send certain equivalent amount of $ to someone and eliminate extra cents.
5. Their "Cancel transactions" is a bit misleading since there was always a way prior to the confirmation of the initial transaction.
6. About "Integrated shopping experience", it will only be useful if the discount rate they offer, is better than others out there.

One of the motivating points for merchants to shift to Bitcoin, was because chargebacks were not possible... now these guys wants to go back to a system that was misused to cheat people out of their

well earned money? Bitcoin should improve on these problems, not copy cat the old payment methods. I see people trying to implement Debit and Credit cards onto Bitcoin too, and I think these people

just want to continue making profits from this new technology... that was supposed to improve on these features.  ::)

the only legitimate thing i can think this would be usefull for is for canceling a transaction that too small a fee has been paid on so you dont have to wait for hours/days for it to confirm. Other than that i could only see it being used to scam people who accept payment with 0 transactions. So basically paying for coffee with bitcoin would no longer be an option.

No, please! It's a great thing that BTC transactions cannot be cancelled. I'm also frequently making SEPA transfers, which cannot be cancelled, and that's fine. Just like when I'm giving cash to someone. Why should it be possible that a transaction be cancelled, once done? It shouldn't be.

As i know isnt possible to make such thing at bitcoin world,even doing a transaction faster then the other,wouldnt it make doubled transaction?Anyway this company will have more problems to work out then profit.Maybe if they store the bitcoins at the wallet they provide they can make the refund ,from there soo will be something like protection and buyer and seller must use their wallet to buy and sell and get those option ,the refund.

If they can deliver what they promise/claim in their web site, I think they are a promising company.

Don't worry, it's no real cancelation of the transaction. They can only cancel the unconfirmed ones, which isn't that much of a novelty.
Doubt there will be any service that operates directly on blockchain that will ever be able to do it for real. If that's their best hit-line, they will prolly go under very soon imho.

I felt at first that transactions that are unconfirmed on the bitcoin network can be cancelled. It's great that they confirmed it "It is important to note that a transaction sent from an iPayYou wallet can only be cancelled if it has not been confirmed. Bitcoins sent to another iPayYou user through email can be cancelled until the other user logs in.

Since these transactions are just internal entries in iPayYou’s accounts and are not confirmed on Bitcoin’s blockchain, cancellation is possible."

It can help in cases when users send coins via wrong addresses else I cannot see any other advantage of this option.

Merchants can wait till they get atleast one confirmation after which transaction can not be canceled.So it would provide safeguards to both sender and receiver.

The problem is that there are some services that proceed with a digital transaction once your btc transaction is broadcast and before it is confirmed.

Edit:
Don't know if they're referring to their internal transfers only or they're going to attempt double spends with greater fee to try and cancel the transaction previously created to bitcoin network. Hopefully it is the former. Otherwise a lot of noobs will try and take advantage of this by either abusing the 0 confirmation deposit gambling sites or scam other noobs who are not familiar with bitcoin workings.

Yep, that cancellation feature do 've many neg. outcomes I'd guess. IMHO, they 'sld close that feature to avoid abuse of their system.

They have mentioned only about internal transfers as of now via the iPayYou (as they can only control their user's transactions). Even I doubted that this could cause a scam attempt but with bitcoins, it is not yet possible and hence scammers can only succeed if they don't add any fee and the transaction is dropped.

Which sites are 0 confirmation? I don't know of any. It's also very difficult to double-spend a transaction after about 10 seconds provided there was a minimum transaction fee.

ShapeShift

Well, I'm sure they have something in place, similar to BitPay. Notice that BitPay does not wait for a confirmation, but they check the transaction if it looks good, includes a fee, has been relayed and seen by many nodes, and is likely to be confirmed.

There is another site that does not wait for confirmation, rebit.ph they update your transaction as "confirmed" as soon as about 10 to 20 seconds after you broadcast it, but they still take 3 hours to pay out.

Thats a big no no no for me, why should we cancel a transaction after its sent, thats the biggest cool thing bitcoin has, transaction are irreversible. Anyway I am not impressed with this another wallet like coinbase but with more options so nothing new to me. We should stick to our traditional wallets as I think its not safe to leave any coins in any exchange nowadays there is always risk that you may never see those coins again.

Bitgo also claims to have this feature enabled in the service that they provide.
So this is not something that is so rare to see being implemented nowadays:

Prior to BitGo Instant, typical transactions took 10 minutes or more to be recorded in a block by miners. Until confirmed in the blockchain, transactions are known as “zero-confirm” transactions, and are unsafe to rely on. This is because without BitGo Instant’s guarantee, it is possible for the sender to spend the money elsewhere before the transaction is confirmed. As a result, most Bitcoin businesses require multiple confirmations to credit a deposit, which can take anywhere from 30 minutes to several hours. With BitGo Instant, funds can be available immediately after receipt.

*quoted from the opening statement of the Bitgo instant splash page.

You just have to look at the transaction itself, it simply has to satisfy a few conditions:

1. Has a fee, above minimum relay fee, probably above estimatefee for 25 blocks.
2. Seen and relayed by many nodes, you can check on blockchain.info
3. No double spends seen yet.

I would simply wait about 10 seconds after first seeing the transaction, then do the two above checks.