Bitcoin Forum

Why is it so easy to give away your Bitcoins?

It seems like common sense has gone out the window in the loaning of BTC here. You are basically doing the equivalent of the topic subject, so make sure you use the same criteria in knowing your borrower as if you were handing someone cash when loaning BTC!

Needs to be much more intensive than doing a cash loan as it's often impractical to use courts to enforce the contract, and much more difficult to verify the person isn't the same person who asked for a loan a few hours ago under a different alias.

There are a few different credit-check-type websites up, and being built. BTC lending is evolving.

i think it comes to what kind of faith you have in people.

if you believe most people are honest and good deep down.. you are more likely to lend...

if you are distrusting, and believe that everyone is out to get you.. you are far less likely to lend and so on.

If you are not doing it (lending) then your point of view is worth less than someone who actually does it (lending).  Maybe that's why commentators for (insert sport/news item) tend to be old/incapable/other (additional adjectives not necessary at this stage).

Common sense has not gone out of fashion.

Logic error pointed out.

ha ha ha - nice

I did say common sense was still present, so the example falls down a little.

They lend at vey high rates, duh. Do the math!

I have to admit I'm confused at this myself.

Hasn't anyone heard of picking up a phone?  Increased anonymity doesn't mean you have to be stupid. 

That gets establishing the person being a person out of the way (eliminating the problem where someone can simply use a few different username handles, then request loans from the same people - though it doesn't help if the scammer just asks different lenders unless lenders are expected to pool phone recordings), but does not solve the important issue of it being impractical to collect from defaulters - assuming the person's even in the same country. All bad loans I'm aware of could have been avoided by insisting on tighter restrictions on who's allowed to take out loans (with regards to reputation) - this includes using the tools which exist for credit-checking.

The recent gurg/westcoastconnect/kujoking scam was pretty different from previous problems. He had extensive back-stories (one story I was told was that he worked at a small balloon animal kiosk and wanted to purchase higher-end balloons at a wholesale price, but needed a loan to meet the minimum order requirement), gave addresses and other identifying information - but the information was fake. He gave plenty of identifying info (which turned out to be fake), did a few trades prior, and sounded sincere. Perhaps, the lenders could insist the lendee wait to be lent BTC until he receives a paper code at his/her address, then type it to the lender, to confirm where the lendee lives - but then it pushes out many people who want loans for something immediate (many are waiting for bank transfers to Dwolla to clear).

I'll call you at noon - what's your time zone?  I'll add the international reparation costs to the loan.

Doesn't actually help.  A phone number costs $2 if you know how.

or free with google voice