Thanks to Christopher Allen for passing on that latest "Digital Purse" proposal. I won't quote-and-comment here. Does this system provide _any_ protection againt fine-granularity monitoring of payer identity? The talk of "clearinghouses" and the involvement of VISA International and the Usual Suspects suggest identity-blinding protocols are not in use. I also see no mention of DigiCash, or even RSA (but maybe I missed that--and the presence of RSA would not necessairly mean identity-blinding protocols were being planned). Likely Scenario: This is *not* digital cash as we think of it. Rather, this is a future evolution of the cash ATM card and credit card, optimized for faster and cheaper clearing. Scary Scenario: This could be the vehicle for the long-rumored "banning of cash." (Just because conspiracy theorists and Number of the Beast Xtian fundamentalists belive it doesn't render it implausible.) There are many "reasons" to ban cash and make it all electronic: * War on Drugs....need I say more? * surface the underground economy, by withdrawing paper currency and forcing all monetary transaction into forms that can be easily monitored, regulated, and taxed. * reduce theft of welfare checks, disability payments, etc....a problem in some locales, and automatic deposit/cash card approaches are being evaluated. * illegal immigrants, welfare cheats, etc. Give everyone a National Identity Card (they'll call it something different. to make it more palatable, such as "Social Services Portable Inventory Unit" or "Health Rights Document"). There was a time when I would've said Americans, at least, would've rejected such a thing. Too many memories of "Papieren, bitte. Macht schnell!" But I now think most Americans (and Europeans) are so used to producing documents for every transaction, and so used to using VISA cards and ATM cards at gas stations, supermarkets, and even at flea markets, that they'll willingly--even eagerly--adopt such a system. Make no mistake, this is not the digital cash that Cypherpunks espouse. This gives the credit agencies and the government (the two work hand in hand) complete traceability of all purchases, automatic reporting of spending patterns, target lists for those who frequent about-to-be-outlawed businesses, and invasive surveillance of all inter-personal economic transactions. This is the AntiCash. Beware the Number of the AntiCash. --Tim May -- .......................................................................... Timothy C. May | Crypto Anarchy: encryption, digital money, tcmay@netcom.com | anonymous networks, digital pseudonyms, zero 408-688-5409 | knowledge, reputations, information markets, W.A.S.T.E.: Aptos, CA | black markets, collapse of governments. Higher Power: 2^859433 | Public Key: PGP and MailSafe available. "National borders are just speed bumps on the information superhighway."