[fc-discuss] Financial Cryptography Update: On Digital Cash-like Payment Systems

[Daniel A. Nagy]

On Mon, Oct 24, 2005 at 02:58:32PM -0700, cyphrpunk wrote:

> Digital wallets will require real security in user PCs. Still I don't
> see why we don't already have this problem with online banking and
> similar financial services. Couldn't a virus today steal people's
> passwords and command their banks to transfer funds, just as easily as
> the fraud described above? To the extent that this is not happening,
> the threat against ecash may not happen either.

Well, there have been several attacks of this kind against Russia's WebMoney
system. One of the founders and first arbiters, Nikita Sechenko, wrote up
the following text on his advocacy webpage owebmoney.ru (my translation):
https://www.financialcryptography.com/mt/archives/000492.html

It also contains somre relevant bits about governing an payment system based
on pseudonymous accounts. I think, theirs is the most sophisticated
account-based payment system in active use, complete with arbitration,
messaging, billing, key certification, credit operations and credit history,
and a lot more.

-- 
Daniel