I suspect this topic has been beat to death but my search is coming up empty. Please point me in the right direction.
I recently purchased a little BTC. Because I am untrusted, I had to go get cash, exchange the cash for a vanilla card , and then transfer the vanilla card number to the seller. It all went smoothly.
Apparently, the issue with trust relates to the ease of reversing payments for BTC. My guess this is because there is no way to independently verify the address to which the BTC are sent is mine. Therefore, the seller can never prove delivery. One of the bloggers criticised BTC for this reason - there is no way to prove delivery of BTC. She mocked the BTC community because the proposals to address this problem and establish trust look very similar to the current federal system.
Is that the essence of the problem untrusted BTC recipients face?
In fact you can prove that you are the owner of a particular address by signing a message from that address. However, I think the issue with reversals is that VISA or whatever fiat company you're dealing with isn't going to know how to properly investigate these sorts of claims and so they'll likely reverse the transaction on little to no evidence. I really think the issue is with the bitcoin community not trusting the pay company, not the other way around.