[HN Gopher] EU NGI TALER will bring private and secure online pa...
       ___________________________________________________________________
        
       EU NGI TALER will bring private and secure online payments to the
       Eurozone
        
       Author : pabs3
       Score  : 121 points
       Date   : 2024-01-18 08:04 UTC (14 hours ago)
        
 (HTM) web link (taler.net)
 (TXT) w3m dump (taler.net)
        
       | some-username wrote:
       | People should know that
       | 
       | 1. it's not based on any kind of blockchain,
       | 
       | 2. it's not a currency, it's a payment system which you could use
       | to transfer other currencies (euro, dollar, ...) and
       | 
       | 3. unlike most blockchain-based currencies it offers anonymity
       | (only for buyers, not for sellers, though)
        
         | p4bl0 wrote:
         | Indeed, GNU Taler doesn't use a blockchain, as a blockchain
         | cannot actually implement digital cash. In a blockchain,
         | transactions are necessarily _centralized_ -- on a distributed
         | ledger maintained using a peer-to-peer protocol, but the
         | transactions themselves are still _account-based_ --, so they
         | are effectively equivalent to wire transfers, i.e., just
         | accounting entries: they cannot take place between two offline
         | parties like you can do with actual cash. Also, blockchain-
         | based digital  "money" (quotes because there is no such thing,
         | "cryptocurrencies" are purely speculative securities and that's
         | it) need to be at the same time the currency, the long-term
         | storage, and the transaction system.
         | 
         | On the contrary, GNU Taler is only a transaction system as you
         | said, and uses advanced cryptography (double blind signatures)
         | and infrastructure that allow it to be _bearer-based_ , i.e.,
         | actually decentralized transactions between two offline parties
         | can take place. Taler can actually do digital cash, with buyers
         | privacy, and auditability and taxability of sellers.
        
           | jgilias wrote:
           | I'm confused. Why do they say in their FAQ that peer-to-peer
           | payments only appear as such, and actually need to go through
           | a payment provider?
           | 
           | https://taler.net/en/faq.html
        
             | t_mann wrote:
             | My understanding is that a Taler is a "use-once" note - you
             | create it from a payment provider balance, then you can
             | transfer it to someone else, but then that person then has
             | to redeem the coupon, they can't transfer it again (at
             | least not using the cryptographically secure protocol -
             | they could give someone else the private key, but clearly
             | that wouldn't be safe). So transactions in Taler look
             | something like this: 1 convert payment provider balance to
             | Taler note 2 send Taler note to someone else 3 recipient
             | converts receipt back to payment provider balance 4 create
             | a new Taler note (go to 1). The anonymity should derive
             | from the fact that the receipt note can't be traced back to
             | the original spendable note, and the time delay between the
             | creation of the spendable note and the redemption of the
             | receipt note (so arguably the system requires some level of
             | minimum activity to achieve a practical privacy guarantee).
             | 
             | So in that sense it is quite different from the account or
             | UTXO logic that most cryptocurrencies use, where balances
             | can be transferred between accounts indefinitely. I think
             | it's interesting to think about what problems it solves -
             | it semi-solves anonymity in a way that might be acceptable
             | for lawmakers and that doesn't require a backdoor (the more
             | typical approach for 'compliant privacy'). The question is
             | whether that is enough utility gain for regular users to
             | justify the overhead - it seems like a simple transaction
             | requires quite a lot of steps, key management is a non-
             | trivial burden (for users who might not even be used to
             | password managers eg),...
        
           | pyrale wrote:
           | > actually decentralized transactions between two offline
           | parties can take place.
           | 
           | The schema they use to explain the system's mechanisms
           | clearly shows an exchange that needs to be audited:
           | 
           | > Payments are made after exchanging existing money into
           | electronic money with the help of an Exchange service, that
           | is, a payment service provider for Taler.
           | 
           | That is, the transaction _can_ be offline, but it eventually
           | needs to pass through a central point to be effective.
        
           | littlestymaar wrote:
           | > In a blockchain, transactions are necessarily centralized
           | -- on a distributed ledger
           | 
           | This.
        
         | crotchfire wrote:
         | 4. the central bank gets to decide how much "cash" each
         | individual deserves to have at any given point in time. All of
         | the proposals I've heard set that limit at less than one
         | month's apartment rent in most EU cities. Therefore, this
         | scheme is not competing with any form of money or payment
         | besides coins-and-banknotes.
         | 
         | 5. this "cash" has an expiration date, which is chosen at the
         | whim of the central bank. If you stuff it in your mattress like
         | paper cash, it becomes worthless. Therefore, this scheme is a
         | massive step backwards in terms of central bank control over
         | our lives, relative to coins-and-banknotes.
         | 
         | If this takes off, it will affect only a small slice of our
         | economic relations, and it will affect that slice for the
         | worse, not for the better.
         | 
         | I'm disappointed that Tanja Lange was willing to associate
         | herself with this.
        
           | asgeirn wrote:
           | This is exactly how the physical representation of money
           | works as well.
           | 
           | The central bank controls how many bills are in circulation,
           | and the central bank regularly expires old bills and coins.
        
             | crotchfire wrote:
             | Only unstable third-world countries do that.
             | 
             | The Bank of England honors all of its old banknotes: "There
             | is no deadline to exchange old banknotes with the Bank of
             | England."
             | https://www.bankofengland.co.uk/banknotes/exchanging-old-
             | ban...
             | 
             | The United States has never demonetized any of its coins or
             | banknotes. All of them are honored _and are in fact still
             | legal tender_ to this day -- even the $100,000 bill! https:
             | //en.wikipedia.org/wiki/Obsolete_denominations_of_Unit...
             | 
             | Although Canada has revoked legal tender status for some of
             | its older bills, "The Bank of Canada continues to honor
             | them at face value"
             | https://www.bankofcanada.ca/banknotes/about-legal-tender/
        
               | Yoric wrote:
               | In contrast, all of Europe has demonetized its old
               | currencies (Deutschmark, French Francs, Italian Lira,
               | etc.) when switching to Euros, and a few times before
               | that. I've just looked it up and one Napoleon Franc is
               | currently worth ~20EUR.
               | 
               | So, it's not that uncommon.
        
               | RandomLensman wrote:
               | You can still convert old DM into Euros at the initial
               | rate in Germany
               | (https://www.bundesbank.de/de/aufgaben/bargeld/dm-
               | banknoten-u....)
        
               | mrighele wrote:
               | The majority of EU member set a limit date: https://www.e
               | cb.europa.eu/euro/exchange/html/index.en.html
        
               | RandomLensman wrote:
               | I don't think the majority in that list has set a limit
               | for bills, only for coins
        
               | mrighele wrote:
               | Uhm, i guess you are right. (9 vs 11). Sorry I guess I
               | didn't pay enough attention.
        
               | RandomLensman wrote:
               | No worries, you were right that a majority put time
               | limits on at least some exchanges into Euro.
        
               | anhner wrote:
               | Europe is an unstable third world country, haven't you
               | heard?
        
           | t_mann wrote:
           | You're confusing Taler with central bank digital currencies
           | (CBDCs, the Eurozone incarnation of which would be the
           | Digital Euro). I suppose the project being funded through an
           | EU grant could mean that it's in consideration to be used for
           | the Digital Euro, but your criticism would apply
           | independently of whether Taler or another technology is used,
           | and Taler could also be used in different contexts without
           | those limitations. The CBDC and Taler concepts live in
           | different spheres, and it doesn't make sense to criticize
           | Taler for pain points that you have with CBDCs.
           | 
           | Btw, I haven't seen anything like an expiration date in the
           | proposals for the Digital Euro [0], could you provide your
           | sources for that claim?
           | 
           | [0] https://www.europarl.europa.eu/legislative-train/theme-
           | an-ec...
        
             | crotchfire wrote:
             | No, I'm not confusing anything. I think you're trying
             | distract from the incredibly antisocial effects this
             | project will have. Everything I wrote comes from the
             | position paper published on the Taler project's website:
             | 
             | https://taler.net/papers/cbdc2021en.pdf
             | 
             | Page 16: _These denomination keys, and thus the coins,
             | would have an expiration date before which they must be
             | spent or exchanged for new coins. Customers would be given
             | a certain amount of time during which they could exchange
             | their coins._
        
               | SiempreViernes wrote:
               | Paper and coin money _also_ gets expired and you need to
               | replace your mattress stuffing for the new versions every
               | now and if you want to keep any value.
        
           | littlestymaar wrote:
           | > 4. the central bank gets to decide how much "cash" each
           | individual deserves to have at any given point in time.
           | 
           | Taler is a payment system, it has nothing to do with central
           | banks at all.
           | 
           | > 5. this "cash" has an expiration date, which is chosen at
           | the whim of the central bank. If you stuff it in your
           | mattress like paper cash, it becomes worthless. Therefore,
           | this scheme is a massive step backwards in terms of central
           | bank control over our lives, relative to coins-and-banknotes
           | 
           | Again, you must be confusing Taler with something else. Also,
           | coins and banknotes have expiration dates too (for instance,
           | try pay something with a Deutsch Mark note today).
           | 
           | Kind of sad to see the "Evil central banks want to control
           | your life" conspiracy theory leaving the mud of 4chan to
           | reach HN...
        
             | pjc50 wrote:
             | Like a lot of conspiracy theory, there's a core of truth.
             | All you have to do is ask the question "is this system
             | going to be allowed to be used for crime on a huge scale",
             | receive the obvious answer "no", and infer that there will
             | be _some_ control built into the system.
             | 
             | Where it leaps into conspiracy is the question of when and
             | whom this will be used against. But it's fairly obvious
             | that measures will be taken against drug sellers, sex
             | workers, banned political parties and so on.
        
               | littlestymaar wrote:
               | This has nothing to do with what GP _invented_ (amount
               | control and expiration date set by central banks).
               | 
               | > But it's fairly obvious that measures will be taken
               | against drug sellers, sex workers, banned political
               | parties and so on.
               | 
               | Yeah, of course like governments already do with cash!
               | 
               | There's a big difference between saying "governments are
               | going to police things" (which is always true, that's
               | their purpose in fact) and spreading made up claims
               | involving a central bank's conspiracy (spoiler alert:
               | policing isn't part of central banker's job, if somebody
               | is going to do anything it will not be them but the plain
               | and boring law enforcement agencies, but that sounds less
               | bad as a conspiracy to say that police is going to police
               | stuff, I guess).
               | 
               | If anything, a technology like Taler is a big improvement
               | in terms of individual freedom compared to things like
               | credit cards. If governments want to stop cash to combat
               | crime (and save money, the logistics around cash is very
               | expensive) having Taler instead of Visa is a massive
               | benefit for privacy and freedom.
        
               | pjc50 wrote:
               | The argument is that, if the money is just a database,
               | the police will get it policed, or the bank will police
               | it themselves, in an extra-legal way of just deleting or
               | freezing accounts on request.
        
               | littlestymaar wrote:
               | Like with regular bank accounts you mean?
               | 
               | If you live in a country where the police can delete or
               | freeze your bank account without legal control (or at
               | all, even), then you're screwed and you can either change
               | your government or find a new country, the fact that cash
               | exists is not _at all_ a big enough a guarantee for your
               | freedom. At that point the government could also seize
               | all your properties (including cash, something that the
               | US police routinely does[1]) and /or keep you under
               | arrest in secret prisons.
               | 
               | If you hope a technological mean (be it rudimentary like
               | cash, or more modern like a blockchain) can help you
               | protect your freedom against evil government, I have bad
               | news for you. No technology can solve your political
               | problems.
               | 
               | [1]: https://priceonomics.com/how-police-officers-seize-
               | cash-from...
        
       | oaiey wrote:
       | My question is: How does the average Jane and Joe benefits
       | compared to Debit and Credit Cards? Privacy, they do not care.
       | Being anonymous, they do not care.
       | 
       | So a dead initiative?
        
         | some-username wrote:
         | My understanding here is that the main objective is to break up
         | the MasterCard/Visa duopoly. I guess breaking up duopolies is
         | always a win for the general public, no?
        
           | pasc1878 wrote:
           | In the UK and I thought in most of the EU you can just use
           | your Bank's app to send money into someone else's bank
           | account.
           | 
           | So not replacing MasterCard/Visa especially as that requires
           | a lot to be able to accept payments.
        
         | some-username wrote:
         | ...and, as quoted by sunshine_reggae, lower transaction costs.
        
           | kybernetyk wrote:
           | as an average joe on the consumer end I don't care about
           | transaction costs. at least here in germany that's the
           | vendor's problem.
        
             | some-username wrote:
             | Won't the vendors just design their prices in a way that
             | it's economically feasible for them - they just include the
             | transaction costs in the price?
        
               | kybernetyk wrote:
               | yes, but they're not allowed to charge different prices
               | depending on payment method. so they may factor those
               | costs in - but everyone pays them. doesn't matter if
               | they're paying cash or visa. so as a consumer I don't
               | care about taler's lower transaction costs because I
               | still have to pay the full price. so why should I switch?
               | I'm happy with my visa on my apple watch.
        
             | Almondsetat wrote:
             | the vendor factors them in the final price, especially if
             | you're buying something below 10 euros
             | 
             | not to mention online micropayments such as donations which
             | could allow people to just send 1 dollar without fear of
             | fees taking up most of it
        
             | mytailorisrich wrote:
             | Especially while having to pay 19-25% VAT on most
             | purchases...
        
         | vages wrote:
         | If it's equally convenient and cheaper, people could easily use
         | this. It may even be their bank who sets it up for them when
         | they pay for something.
         | 
         | I know at least one person employed in banking who thinks it's
         | insane that Visa and Mastercard get a 2% cut of any
         | transaction.
        
           | unmole wrote:
           | > Visa and Mastercard get a 2% cut of any transaction.
           | 
           | They don't. In the EU, the intercharge fees is capped at
           | 0.3%. Even in the US they only keep a fraction of the fees,
           | the rest goes to card issuers.
        
           | eigenket wrote:
           | The EU solved that in 2015, the fee is capped at 0.3% for
           | credit cards and 0.2% for debit cards. Call up / write to
           | your representative in whatever country you live in and ask
           | why your country hasn't done that yet.
        
         | raverbashing wrote:
         | You can't pay your average person with a Debit or Credit card
         | 
         | Edit: yes I am familiar with the various 'sending money to
         | people' systems in Europe, but they don't rely on a debit card
         | for the most part, rather, your bank account
        
           | kwhitefoot wrote:
           | In Scandinavia we do exactly that via the Vipps platform and
           | mobile app.
        
           | eigenket wrote:
           | Across a lot of Europe there are systems/companies which
           | already fill this role. I'm familiar with Blik in Poland
           | which in addition to letting you buy stuff online and in
           | person pretty also lets you send money to an average person
           | using only their mobile phone number.
        
           | pasc1878 wrote:
           | In the UK I can use my bank's app/website to send money to
           | another person's bank account.
           | 
           | What do these 'sending money to people' systems do more than
           | that?
        
             | eigenket wrote:
             | To send a normal person money using blik you just need
             | their phone number, this is usually more streamlined to
             | obtain/deal with than the traditional identifying numbers
             | for bank accounts.
             | 
             | To buy something online using blik your bank's app
             | generates a 6 digit one time code which is valid for
             | something like 2 minutes. You enter that on the website of
             | whoever you're trying to pay rather than give them your
             | card number and cvv. This is nice because in addition to
             | being a lot shorter to enter than a card number a nefarious
             | person can't reuse the code to perform more transactions at
             | a later date (since they don't have your card number).
        
               | pasc1878 wrote:
               | So in this case the two parties both need to be
               | registered with the app and then can exchange money that
               | they easily know e.g. the phone number.
               | 
               | The phone number is an id into the bilk system.
               | 
               | With bank transfers both parties do not need to be
               | register with an app they just use the id that they have
               | already for other reasons the bank sort code and id. So
               | needs less extra infrastructure but the user interface is
               | more unfriendly (people don't remember their bank account
               | number).
               | 
               | Now if banks linked your phone number to the account
               | number and sort code.....
        
               | eigenket wrote:
               | The way it works in Poland is that the banks which
               | participate in the blik system (which I think is all or
               | most of the banks with large usership) take care of the
               | link between phone number and account for you. You don't
               | need to register for anything special just provide your
               | number when you open your bank account.
               | 
               | There is no separate app for blik (at least as far as I'm
               | aware) the functionality is integrated into my bank's
               | app.
        
         | n_ary wrote:
         | I absolutely care about privacy. Also, if I can pay the kebab
         | shop with less fee with my phone(hopefully) rather than them
         | putting up a note that "only cash"(because CC charges large
         | fees), it'll be an immediate win for me to avoid carrying
         | wallet full of heavy coins and cash everywhere like medieval
         | times.
        
           | mytailorisrich wrote:
           | If you believe that kebab shops, or any shops, that put up
           | such signs are really about card fees then I have bridge to
           | sell you...
        
             | actionfromafar wrote:
             | They do though. I have been to several who refuse cards for
             | payments below a certain (pretty low) amount.
        
               | mytailorisrich wrote:
               | Minimum amount for card payments , indeed because of
               | fees, is not the same as refusing card payments
               | altogether like the person I replied to wrote.
               | 
               | Cash only is not really about card fees...
        
               | actionfromafar wrote:
               | But if you only sell low value items, it may not be worth
               | it, especially if you won't loose many customers because
               | most customers have cash at hand.
        
               | mytailorisrich wrote:
               | Let's spell it out, then: Cash only is about tax, not
               | card fees.
        
         | niyaven wrote:
         | Debit and credit cards are not popular everywhere. In Germany,
         | their market share is below 50% in e-commerce transactions. In
         | retail it's just above 50%. If you look at the overall volume,
         | 82% of their transactions are made in cash.
         | 
         | Now, would they swap cash this solution? I doubt it... Privacy
         | is a reason but not the only one.
        
           | eigenket wrote:
           | Germany is particularly weird for that. Visiting Germany from
           | the UK or Poland paying for stuff feels like going back in
           | time like 15-20 years.
           | 
           | I have a strong memory of going to a cafe next to my hotel in
           | Berlin and ordering a coffee and being completely shocked I
           | couldn't pay for it by card. I hadn't even considered that I
           | might need cash. After some conversation the nice lady in the
           | cafe told me keep the coffee and to come back the next day
           | with the cash. They really hate card payments for some
           | reason.
           | 
           | On the other hand in Poland I've been unable to use my card
           | in a couple of places because they only take mobile
           | payments/Blik. The contrast is wild.
        
         | arnorhs wrote:
         | Anecdotally, privacy is actually something that people care
         | about today. I used to think that it was mostly software geeks
         | that cared about privacy, but during the past few years there's
         | been so much discussion about various privacy issues, as well
         | as discussions in my community etc.
         | 
         | Young people in particular care way more about privacy that us
         | older people. In fact, young people feel way more anxiety
         | around things that are tied to your identity.
         | 
         | But even despite them, I feel like even in my extended family
         | privacy issues are increasingly very important to people.
         | Everybody knows somebody who has been scammed.. even lost a
         | great amount of money.
         | 
         | Your average user is caring more and more about security and
         | privacy.
         | 
         | Re: being anonymous, I don't know. I suspect the anonymity part
         | is more related to privacy for most people.
         | 
         | The other benefits of this of course is that you can make your
         | own payment system and integration, and you won't need to be
         | dependent upon VISA/Mastercard for your payments. Cheaper
         | transaction fees ultimately helps lower product prices, enables
         | microtransactions and more - I wouldn't discount how much of a
         | big deal this would be.
         | 
         | I'm sure once they've finalized the whole thing,
         | Misa/Vastercard will have employed their lobbying powers to the
         | fullest to inject themselves into the final spec, but here's
         | hoping.
        
         | WhyNotHugo wrote:
         | Dutch debit cards cannot be used for online payments abroad. So
         | the benefit is being able to make payments to, eg: Germany.
         | 
         | Credit cards are terrible. One has to share a few secret
         | numbers with the merchant and the merchant then takes money out
         | of the cards account. It relies on fully trusting every single
         | merchant to have perfect honestly and security.
         | 
         | Plus credit cards have a transaction cost that is paid to
         | foreign companies. It's quite ridiculous that a Dutch person
         | buying online in Germany ends up paying a tiny transaction cost
         | to a third country.
        
       | sunshine_reggae wrote:
       | > The initial investment into the required infrastructure is low
       | and the payment mechanism operates more cost efficiently than
       | existing payment solutions, with lower transaction fees - a
       | benefit that will be shared by consumers and merchants.
       | 
       | > This makes even micro-payments possible, creating an
       | interesting and privacy preserving alternative to subscription-
       | or advertisement-based revenue for newspapers and other
       | publishers.
        
       | robin_reala wrote:
       | As an aside, the taler (or thaler) is an old German-and-
       | surrounding-regions coin that's the root etymology for the word
       | "dollar".
        
         | im3w1l wrote:
         | And the word thaler is a shortened version of Joachimsthaler.
         | Joachimsthal was the place where the silver for the coins was
         | mined. And the second part of that, thal, is cognate with
         | English dale.
        
           | krolley wrote:
           | Very interesting! Dale is anachronistic in English by now I
           | guess. I've only read it literarily as in "over hill and
           | dale" and otherwise thought of Tal as valley in German.
        
             | nullnix wrote:
             | It's certainly not anachronistic in England in place names,
             | nor as a name for a type of (water- or glacier-carved)
             | landform.
        
         | alentred wrote:
         | Ha. I thought that "taler" is a wordplay for "teller" (like a
         | bank teller).
        
       | entropyie wrote:
       | If I could rig my browser to pay 1 cent for every newspaper
       | article I read, I would happily do so. The biggest issue with
       | paying for news is that you are reduced to a small handful of
       | sources. I would like to read a couple of articles from a hundred
       | sources, not a hundred articles from one source. Not sure this
       | platform solves the problem, but it would be a game changer if it
       | did.
        
         | stevage wrote:
         | Yeah, it's weird that no one ever made that model work. I think
         | it was tried?
        
           | Hamuko wrote:
           | Flattr was a kind of a version of that (although billed as
           | "donations"), and it recently shut down.
           | 
           | https://flattr.com/
        
             | vaylian wrote:
             | I appreciate the "service no longer exists" page. But is
             | there any official statement why flattr was closed down?
        
             | littlestymaar wrote:
             | I tried to use flattr a few years back, but the UX was
             | horrible and for something that needs to become ubiquitous
             | to be useful, that's not the kind of mistake you can
             | afford.
        
           | rglullis wrote:
           | Take the Brave browser, swap their crypto wallet for this.
        
           | asgeirn wrote:
           | Yeah, I know of one example where idea was actually created
           | and pitched to media outlets.
           | 
           | They did not like the idea. They very much more like the idea
           | of owning the customer and keeping the customer paying
           | subscriptions.
           | 
           | I also know of a media outlet which incentivizes customer to
           | go from credit card payment to automated bank transfers,
           | since credit cards expire every x years but the bank transfer
           | goes on forever.
        
           | Yoric wrote:
           | A long time ago, Mozilla had a prototype of this, but it
           | never took up, in part because there was no standard for web
           | payments. Then Brave claimed to be working on this, I don't
           | know the status. I believe that Chrome had someone working on
           | this, too, at some point, but the project vanished.
        
           | oblio wrote:
           | Not hard enough. The problem with this model is that it would
           | be vendor agnostic and no one wants to be the "dumb pipe".
           | Everyone wants to own the entire system, ergo, proprietary
           | payment systems (Google/Apple/Samsung/Microsoft/... Pay).
        
         | pjc50 wrote:
         | My standard reply to this: https://github.com/pjc50/misc-
         | personal.github.io/blob/master...
         | 
         | > If I could rig my browser to pay 1 cent for every newspaper
         | article I read
         | 
         | Define "read". And "article". Should you get charged for every
         | link preview you scroll past on Twitter? (see lawsuits! the
         | publishers think you should, or at least that this is copyright
         | infringement)
         | 
         | Can I build a page with one "article" plus one thousand hidden
         | iframes each of which also contains a one-cent "article"?
         | 
         | Who polices fraud in this system? How much does it cost?
        
           | amadeuspagel wrote:
           | That link doesn't work.
        
             | littlestymaar wrote:
             | It's pretty apt since the argument doesn't either[1].
             | 
             | [1]Taler requires explicit user action for payment, it's
             | not like publishers can charge you for scrolling.
        
               | grothoff wrote:
               | Not quite. GNU Taler's reference implementation requires
               | explicit user consent for payment. But as GNU Taler is
               | Free Software, you are free to modify the code on your
               | system (and share your with others) to not require an
               | explicit confirmation if you prefer that. Or even better,
               | to add an option to do that on some "trusted" sites which
               | you make configurable for each user via settings. I don't
               | know if the risk is worth the UX improvement, but a key
               | contribution of GNU Taler is that it is a Free Software
               | payment system where you actually have the full four
               | freedoms. Use them!
        
               | littlestymaar wrote:
               | While what you say is completely valid, that doesn't save
               | the original argument by pcj50 which was made up claims
               | about the ability for scammer to drain your wallet. Of
               | course you could build your own implementation that
               | allows for such an attack, it is not a valid criticism of
               | the project.
        
           | darkwater wrote:
           | > Can I build a page with one "article" plus one thousand
           | hidden iframes each of which also contains a one-cent
           | "article"?
           | 
           | It should be up to your user-agent (aka the browser) to
           | implement your decision and protect you from scammers, just
           | like it happens in the rest of scenarios.
        
       | superzamp wrote:
       | Great news from a project that deserves a close look for those
       | not familiar with it already. Taler is very close in term of
       | mindset to what Ripple was, as originally developped by Ryan
       | Fugger, before helm changed hands and it became the commercial
       | farce known as today's incarnation of Ripple / XRP.
        
       | Animats wrote:
       | _Where is the balance in my wallet stored?_
       | 
       |  _Your wallet stores digital coins and thus ultimately your
       | computer holds your balance. The exchange keeps funds matching
       | all unspent coins in a settlement account._
       | 
       |  _What if my wallet is lost?_
       | 
       |  _Since the digital coins of value in your wallet are anonymized,
       | the exchange can not assist you in recovering a lost or stolen
       | wallet. Just like with a physical wallet for cash, you are
       | responsible for keeping it safe._
       | 
       |  _The risk of losing a wallet can be mitigated by making backups
       | or keeping the balance reasonably low._ [1]
       | 
       | Ah. This is Chaum's DigiCash, from 1990.[2] A good idea, too
       | early.
       | 
       | It's a system where coins are protected against double-spending
       | by a database back-end. Which is how some centrally issued
       | cryptocurrencies actually work.
       | 
       | The half-anonymity is interesting. The recipient is not
       | anonymous, but the sender is. That may make it a politically
       | acceptable substitute for cash.
       | 
       | It has the nice property that, unlike debit cards, etc., the
       | recipient can't take more of your money than you give them.
       | 
       | [1] https://taler.net/en/faq.html
       | 
       | [2] https://en.wikipedia.org/wiki/DigiCash
        
         | asgeirn wrote:
         | Ah, DigiCash! I was really optimistic on this concept in my
         | student days - one local bank even had a PoC with digital cash.
        
         | toyg wrote:
         | _> That may make it a politically acceptable substitute for
         | cash._
         | 
         | I think you misspelled _un_ acceptable. Anonymous donations are
         | a massive source of corruption, which is why they tend to be
         | capped by law (and even then, I'm sure a lot of bad people
         | manage to get around it).
         | 
         | Political money needs total transparency.
         | 
         | (Unless you meant "more acceptable to the general public for
         | average transactions"; in which case I agree, but I suspect it
         | will be the opposite for governments and law enforcement
         | agencies...)
        
           | 1116574 wrote:
           | It is much better for govt as well. Instead of having
           | untracked cash flows not paying taxes, now you can ensure
           | taxes are paid (in EU seller is responsible for paying
           | taxes). So your local govt can sell you this new (old) system
           | as being just like cash, decentralised, anonymous, with no
           | banking institutions at play, while having a closer watch on
           | increasingly convoluted tax codes.
           | 
           | As for donations, it's still good. Instead of having vast
           | amount of cash flow unnoticed as bribes/corruption, now you
           | atleast know that the politician received that amount of
           | money. I don't see how it is worse that normal cash.if one
           | can cap amount of anonymous donations with banks and cash,
           | why not do the same here?
        
             | toyg wrote:
             | _> Instead of having untracked cash flows not paying taxes_
             | 
             | Blockchain payments are tracked, so are bank movements;
             | that's not the problem. The problem with blockchain
             | solutions (well, one of many) is that they're
             | _pseudonymous_ , so authorities have to work to demonstrate
             | that account X is linked to person A. Compare with the
             | regular banking system, where every account must have a
             | real identity attached: from the government's perspective,
             | banks are so much better, and they already work (through
             | Visa/MasterCard/Amex). Governments have absolutely no
             | incentive to accept or push an anonymous digital currency.
             | None whatsoever. The more anonymous a currency is (and this
             | one is a bit more anonymous than blockchains), the worse it
             | looks from the perspective of the state.
        
         | joshuaissac wrote:
         | Also reminiscent of Mondex, from the same year.
         | 
         | https://en.wikipedia.org/wiki/Mondex
        
           | Vinnl wrote:
           | Also sounds like Chipknip, in the Netherlands, launched
           | somewhat later (which also never took off):
           | https://en.wikipedia.org/wiki/Chipknip
        
         | kwhitefoot wrote:
         | Sounds a bit like Mondex.
        
         | null0pointer wrote:
         | Brilliant! The downsides of both crypto and centralized
         | control! Just use Monero instead.
        
           | 0x64 wrote:
           | Exactly. Even the transaction costs aren't great:
           | 
           | "Actual transaction costs are estimated around 0.001 cent/tx
           | (at high transaction rates, amortized over billions of
           | transactions, excluding migration costs). Note that this is
           | an early estimate -- and could thus easily be 10x higher."
           | [1]
           | 
           | Transactions costing singular cents [2], and very soon
           | fractions of a cent [3], are already doable on public rollups
           | providing actual control of your own funds, with escape
           | hatches in case the system sequencer falls over [4]. These
           | are, of course, still under heavy development. If privacy is
           | a requirement, there's a zk-rollup for that (or, just use
           | Monero). Not to mention support for social recovery.
           | 
           | This is a very PoS-Ethereum-centric (and L2-scaling-centric)
           | view. There are even cheaper chains that trade L1
           | decentralization for faster blocktimes, instant finality,
           | and/or much cheaper fees.
           | 
           | [1] https://taler.net/en/faq.html
           | 
           | [2] https://l2fees.info/
           | 
           | [3] https://www.eip4844.com/
           | 
           | [4] https://l2beat.com/scaling/summary
        
       | bheadmaster wrote:
       | This is exciting news.
       | 
       | GNU Taler has been in development since 2014 (10 years now!). I'm
       | very happy to see European Commision's interest in this privacy-
       | protecting technology. Along with GNU Net and GNU Social (amongst
       | others), it seems like one of those technologies that have a huge
       | potential to make internet a better place for everyone.
       | 
       | While many consider GNU projects to be vaporware with development
       | pace of a turtle, it seems that the turtle is slowly starting to
       | lead the race. GNU Hurd has also had significant news lately [0].
       | I'm feeling really hopeful about this, especially after the
       | somewhat recent RMS lynching campaign that was lead by major
       | corporations.
       | 
       | [0] https://www.gnu.org/software/hurd/news/2023-q4.html
        
       | eigenket wrote:
       | My impression (which might be unfair since I haven't used the
       | Taler system) is that this looks like a technically better but
       | practically worse version of payment systems which already exist
       | in parts of Europe like the Polish Blik, Swedish Swish, Norwegian
       | Vipps and the one they have in the Netherlands (I forgot the name
       | of that one).
       | 
       | In "the real world" I really don't want to be dealing with a
       | wallet of electronic cash stored on my computer. What I want to
       | be able to do is relatively seamlessly pay for a curry or send my
       | friend some money I owe them or something.
        
         | rambambram wrote:
         | > and the one they have in the Netherlands (I forgot the name
         | of that one).
         | 
         | iDeal you mean?
        
           | eigenket wrote:
           | Maybe, I've never used the Dutch one.
        
       | jgilias wrote:
       | From looking at the GNU Taler FAQ[1], making "p2p" payments still
       | needs to go through the exchange, and the exchanges need to be
       | independently audited to ensure compliance.
       | 
       | Ok. So, privacy?
       | 
       | Given that the system ultimately relies on centralized actors, it
       | can only be private for payment amounts below any applicable
       | travel rule amount in the given jurisdiction.
       | 
       | [1] https://taler.net/en/faq.html
        
       | some-username wrote:
       | I find it kind of cute that they set up this mock-up currency
       | 'kudos' to toy around with it. (https://demo.taler.net/en/)
       | 
       | What makes it (more) cute is that you can use it to reserve
       | entries in their GNS first-come-first-served service.
       | (https://fcfs.gnunet.org/)
       | 
       | GNS being the GNU Name System which is a decentralized/p2p
       | equivalent to DNS. (https://www.gnunet.org/en/gns.html)
        
         | pndy wrote:
         | These examples under Essays feels obnoxiously dystopian; it's
         | just a demo environment of course but I really hope that's not
         | the feature where were heading into, in which every single
         | link/piece of information on the Internet is locked behind
         | payment.
         | 
         | Doomsaying aside, here in Poland nearly everything can be paid
         | with BLIK payments system - whether it's something you purchase
         | on the Internet or small groceries at shop around the corner.
         | You can also withdraw/depo money by ATM or do a small transfer
         | to someone's else phone number
         | 
         | https://www.blik.com/en
        
           | some-username wrote:
           | Why I find it kind of cute is that those buys (GNS fcfs) are
           | basically meaningless - in a p2p system everyone can just
           | host a service like this.
        
       | TruthWillHurt wrote:
       | "..funded as pilot under the Next Generation Internet (NGI)
       | initiative within the European Commission.."
       | 
       | pilot + next gen + initiative + european commission .
       | 
       | This combination of terms == no action.
        
         | orwin wrote:
         | The last time I participated in a project with all those terms
         | (not 'next gen, it was' future', but the idea is the same), it
         | gave birth to the legislation that forces manufacturers to keep
         | providing spare parts 10 years after product EOL, and to
         | provide plans for independants builders after that.
         | 
         | Long winded way of saying 'you're wrong'.
        
           | mrd3v0 wrote:
           | Not to mention the NGI is not a bunch of words, they have
           | been funding many actionable projects including pretty much
           | all the Fediverse.
        
       | pyrale wrote:
       | > This payment system is different from current online payment
       | methods, like credit cards or bank transfers, in that it offers
       | privacy for the buyer: neither merchants nor banks can trace or
       | link the payments.
       | 
       | Banks will _love_ a solution that completely prevents them from
       | implementing KYC /AML regulation they are required to follow.
       | 
       | Truly baffling that such a project manages, if their claims are
       | true, to get public funding after years of crypto grift scandals.
        
         | superzamp wrote:
         | Tbh, the hit to omniscient funds traceability is not that
         | different from what some financial institutions started to
         | accept with Stablecoins already, i.e. a model where KYC/AML
         | happens at the edges but not within the transaction graph
         | itself. It's pleasantly surprising to see this model getting
         | acceptance in the regulatory spheres.
        
           | pyrale wrote:
           | > It's pleasantly surprising to see this model getting
           | acceptance in the regulatory spheres.
           | 
           | The only way this gains regulatory acceptance is if the
           | KYC/AML regulation is moved to the audited exchange - I.E.
           | less friction for authorities to get transaction
           | informations, not more.
        
         | Aerroon wrote:
         | If you ever want digital cash then that digital cash has to
         | offer the same benefits real cash has: anonymity from the
         | state. Until then you're stuck with credit card companies
         | selling your data.
        
       | ArtTimeInvestor wrote:
       | This seems to be a chaumian mint.
       | 
       | How will the onramp look like? I guess they'll have to do KYC
       | when taking in money?
       | 
       | What software can be used to use it?
        
       | postepowanieadm wrote:
       | Another one? Europe already has multiple private and secure
       | online payments: for example https://en.wikipedia.org/wiki/Blik
        
         | 1116574 wrote:
         | Each country's banks/tech firms have invented their own way
         | that is either tied to one app or the banking system/bank
         | account. It is not anonymous for the buyer, and it always
         | requires a central server for every transaction. From what I
         | gather GNU taler solves those problems.
        
         | summm wrote:
         | How is that one private? It is coupled to your bank account so
         | your purchases can be nicely tracked, and to add insult, you
         | also need to use your bank's crappy online banking app
        
           | eigenket wrote:
           | Blik is explicitly not private in that sense, you have to
           | trust your bank to use it. Not sure what they meant by that.
           | However if your bank has a crappy online banking app and you
           | live in Poland then you should probably change bank. The bank
           | apps I've used as a foreigner living in Poland have all been
           | essentially flawless (even using the English language
           | versions).
        
           | postepowanieadm wrote:
           | Do you really suppose anyone in the EU will allow you to maka
           | any payments that are completely anonymous/untraceable? I do
           | trust my bank, if I wouldn't trust them I would find another
           | one. I don't see what problem taler is supposed to solve.
        
             | summm wrote:
             | Money streams would not be completely anonymous. Only the
             | end user would be anonymous. And, the competition are not
             | necessarily only banks, but shady, non-EU middlemen such as
             | Visa, MasterCard, PayPal etc. where it is well-known that
             | they sell your data wherever.
        
       | Mutttttioi wrote:
       | Funny,
       | 
       | first time you will hear about this and last time.
       | 
       | I'm curious how those companies have budget for playing around
       | and why they believe they will be relevant enough to have any
       | impact on daily life for anyone at all?
        
       | lencastre wrote:
       | I just want to know, when will this be live and when can I use
       | it.
        
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