Hacker News new | comments | show | ask | jobs | submit login

Welcome to the nightmares of dealing with money.

Any good payment gateway should be managing the risk of stolen credit cards, but it's likely that because Gittip works with small recurrent payments instead of big upfront payments, it doesn't trigger any red alerts.

Hence also why most people don't realize that Paypal was the side effect of a company that originally was created to handle fraud. Source: http://www.amazon.com/gp/product/1430210788/

To take this to the next step, this is also why I believe Paypal is one of the very few companies that has been able to scale online payments. I'd love to see anyone challenge their ability to balance customer service with fraud prevention at scale.

Starting a new payment service, even from the point of view of a company specializing in fraud prevention is a lot harder now than it was in the past. You're basically entering an arms race that has been going on for a decade+ as a rookie or at best a semi adept. Likely your main contribution to the field before folding is target practice.

Gittip should work with a party that is already in the possession of the required knowledge or they'll be shutting down. This post raised their visibility as rookies considerably and you can expect the sharks to move in now that there is blood in the water.

Thanks, I started a ticket for this:


Guidelines | FAQ | Support | API | Security | Lists | Bookmarklet | Legal | Apply to YC | Contact