[HN Gopher] Mastercard and visa are the de facto regulators of porn
       ___________________________________________________________________
        
       Mastercard and visa are the de facto regulators of porn
        
       Author : notnice
       Score  : 260 points
       Date   : 2022-06-28 20:43 UTC (2 hours ago)
        
 (HTM) web link (www.ft.com)
 (TXT) w3m dump (www.ft.com)
        
       | ChadNauseam wrote:
       | I've suspected that the next place cryptocurrencies will see
       | usage for actual consumer payments will be porn. It makes so much
       | more sense than going through the suffocating mastercard/visa
       | networks, and porn has historically been one of the industries
       | most willing to try new technology.
        
         | ALittleLight wrote:
         | I think that's probably true. Cryptocurrency has use cases in
         | paying for drugs or illegal gambling. It will likely also have
         | uses in paying for child pornography and other illegal forms of
         | pornography. As usual, this is bad.
        
         | woodruffw wrote:
         | This is maybe a tangent, but: how long before we're allowed to
         | stop calling cryptocurrencies a new technology, and admit that
         | actual usage is _not_ being blocked on early development?
         | Bitcoin itself is 14 years old; if it were a web framework, it
         | would have been  "obsoleted" half a dozen times over by now.
        
           | themitigating wrote:
           | I think it's both acceptance and time. The internet was more
           | than 20 years old in 1999 but still had low usage
        
           | sophacles wrote:
           | New is pretty context dependent. Money is literally older
           | than history. That sets up a lot of context by itself, and
           | further the fact that it's so important means people,
           | governments and institutions are pretty conservative (in the
           | slow to adopt change sense) about it. Banks have only
           | recently reached infrastructure status in that context - and
           | only in well developed nations. Credit cards are still new in
           | that context (and it shows). The 14 years of bitcoin is
           | basically embryonic in terms of "money tech".
        
             | woodruffw wrote:
             | This is a reasonable point, but it demands that we ignore
             | the parabolic trend in _every other aspect of human
             | development_. We 've gone from horse-drawn carriages to
             | moon landings and instantaneous global communication in the
             | last 125 years; why does Bitcoin get over 10% of that time
             | to do what I can already do with the piece of plastic in my
             | wallet?
        
               | sophacles wrote:
               | Are you sure this tech isn't "parabolic"?
               | 
               | Depending how you define personal credit, its been around
               | ~100 years (or more!), with the card format being adopted
               | in the 60s. It's only been the last 15 years or so that
               | not carrying cash has become a reasonable approach to
               | day-to-day life.
               | 
               | So for bitcoin to become as big as it has as a _brand new
               | technology_ in only 14 years seems accelerated.
               | 
               | This is analysis complicated a bit by the fact that
               | bitcoin is not a top-down tech like credit, there's no
               | centralized group deciding who gets to use it. On the
               | other side of that though - the tech infrastructure
               | build-out that made credit cards ubiquitous also benefits
               | and accelerates the potential adoption of bitcoin.
        
             | thaumasiotes wrote:
             | > Money is literally older than history.
             | 
             | Standardized weights of specie are older than history; you
             | can find different perspectives on how much they count as
             | "money".
             | 
             | But history begins at a time when the role of money in
             | society is still very much up for debate; Hammurabi's code
             | (~1000 years after the beginning of history, give or take)
             | includes a provision specifying that, if you run a bar, you
             | can't require customers to pay in silver but must also
             | accept grain.
             | 
             | Grain as currency continues across the world for a few
             | thousand years after that, but grain is a terrible currency
             | because it spoils very quickly. (Counting things like "rats
             | got into the grain" as a form of spoilage.)
        
               | sophacles wrote:
               | Huh, super interesting! Do you know some good resources
               | where I can learn more about the (pre) history of money?
        
           | zamalek wrote:
           | Now that the Year of the Linux Desktop might happen for real,
           | I guess we need a new "Year of the X."
        
           | ryandvm wrote:
           | Not to put too fine a point on it, but my guess is there is
           | probably little overlap in the Venn diagram of people paying
           | for porn subscriptions and people capable of managing a
           | crypto wallet.
        
             | woodruffw wrote:
             | Alas, it's probably hard to pull the cap off of your
             | hardware wallet with only one hand. But isn't that what
             | we're told Coinbase is for?
        
           | ClumsyPilot wrote:
           | > it were a web framework, it would have been "obsoleted"
           | half a dozen times over by now.
           | 
           | So a point for Bitcoin then?
        
             | woodruffw wrote:
             | Only if we think "it's better than web development churn"
             | is somehow a positive marker, and not a neutral one at
             | best.
        
           | gleenn wrote:
           | What you're saying clearly makes sense but Bitcoin isn't
           | accepted almost anywhere which is what "new" means. Porn
           | would be an early adopter for potentially mass consumption.
           | It would be new to me certainly as I've never purchased a
           | single thing with Bitcoin and that's almost certainly true
           | for most people.
        
             | woodruffw wrote:
             | I don't know. I passed a bitcoin ATM machine (don't ask me
             | what that actually means, please) on the street yesterday.
             | Friends and family members, including (especially?) non-
             | technical ones, have asked me about Bitcoin and how to
             | invest in it. One of my friends recently bought a car with
             | Ethereum.
             | 
             | "New" means "new," it doesn't mean "not widely adopted
             | yet." We don't widely adopt things that fail or have
             | unacceptable side effects; that doesn't make them new
             | again.
        
               | gleenn wrote:
               | How about new in the sense that other currencies have
               | been around for hundreds of years compared to only 14?
        
               | jcranmer wrote:
               | The euro is most certainly not hundreds of years old, and
               | isn't that much older than Bitcoin.
        
               | sophacles wrote:
               | The euro is not a new type of currency tech. Its just a
               | new painting on the same type of currency that has
               | existed for hundreds of years (that is it's a new brand
               | of banknote).
        
               | woodruffw wrote:
               | I don't buy that. The Euro was conceived in 1992 and
               | constituted a _radical_ shift in international monetary
               | policy; it wasn 't fully rolled out until 2002.
               | 
               | That's 10 years compared to Bitcoin's 14, with arguably
               | far more in concrete financial activity (and quality of
               | life) to show for it.
        
               | gleenn wrote:
               | Sure but again let's be a little more nuanced. When the
               | Euro came out, trillions in wealth were automatically
               | converted to it. Pretty apples to oranges comparison. If
               | all USD was converted to BTC, BTC would become useful
               | everywhere as fast as people could change the POS
               | systems. Not a fair comparison at all.
        
               | woodruffw wrote:
               | > When the Euro came out, trillions in wealth were
               | automatically converted to it.
               | 
               | This is true, but also misleading: the physical Euro
               | switch took place over months, and involved a coordinated
               | public campaign to encourage millions of Europeans to
               | exchange their physical bills. Digitalization helped with
               | banking, but a _significant_ human and policy effort
               | occurred in parallel.
               | 
               | And there's another problem: it's really not clear what
               | it would mean for "all USD to be converted to BTC." BTC
               | has already been issued, and will continue to be
               | algorithmically issued. The Euro switch could not be
               | economically triaged _per se_ , because it was an in-kind
               | transition. No such transition is possible for
               | cryptocurrencies, unless we allow a central authority
               | into the mix.
        
           | ChadNauseam wrote:
           | I wrote about this subject here, if you're interested:
           | https://chadnauseam.com/coding/cryptocurrency/a-hackers-
           | case...
           | 
           | The TL;DR is that blockchain scaling is a very difficult
           | problem. There are scaling layers like ZKSync that are only
           | possible because of cryptographic primitives that literally
           | didn't exist in a usable form 14 years ago.
           | 
           | And I somewhat disagree with your premise - cryptocurrencies
           | are actually used in the real world today. Most of the usage
           | is to get around regulation, like when you want to send
           | remittances or buy drugs, or bet on betting markets. But on
           | the whole I do agree, it's disappointing that the technology
           | is still so immature.
           | 
           | Disclosure: I work in the cryptocurrency industry
        
         | matt321 wrote:
         | Are you saying nobody should be regulating it?
        
           | ChadNauseam wrote:
           | That's not what I'm saying. I'd just rather it be regulated
           | by our democratic institutions rather than by unaccountable
           | payment providers.
        
             | zakki wrote:
             | Isn't the democracy happening now? The majority of people
             | had chosen the institution that create a law that is
             | followed by VISA and Mastercard.
        
           | darawk wrote:
           | Someone should. That someone should not be Visa and
           | Mastercard.
        
             | bell-cot wrote:
             | The largest problem may be that doing the actual day-to-day
             | _work_ of regulation (vs. posturing, politicing, and
             | passing poorly-written laws) is a [cough] pretty
             | undesirable job.
        
           | ohCh6zos wrote:
           | A de-facto outsourcing of regulatory enforcement could be
           | less desirable than explicit regulation.
        
             | mrmanner wrote:
             | It could be, but it's not necessarily so. It's safer to
             | circumvent Mastercard regulation than government, for
             | better and worse.
        
           | Scoundreller wrote:
           | I wonder if the US Supreme Court might revisit that too
        
         | amelius wrote:
         | Not sure. People watch pr0n on their Oculus Quest all the time,
         | fully aware that Meta is watching them watch ...
        
         | terminalcommand wrote:
         | AFAIK, pr0nhub currently only accepts crypto payment.
        
           | thakoppno wrote:
           | is the price denominated in dollars, like how does the
           | bitcoin price fluctuation get handled?
        
             | dboreham wrote:
             | There's a thing called a stablecoin :)
        
               | cowtools wrote:
               | There is no such thing as a decentralized stablecoin
        
               | yreg wrote:
               | So what? If you want to send someone $10 as crypto a
               | centralized stablecoin works perfectly.
        
             | hellojesus wrote:
             | Usually the seller takes on short-term price fluctuation
             | risk.
             | 
             | Buyer initiates purchase, and the seller gives them a
             | window of x minutes to send y btc to an address, where the
             | price of the service is denominated in btc as of the
             | trading price at that moment.
             | 
             | If at least 1 transaction doesn't show up on the btc
             | network in the x minutes, that transaction times out.
             | 
             | If at least 1 does, then the seller waits for w
             | confirmations to take place before the payment is
             | recognized as valid, where w is set to their tolerance.
             | I've seen as low as 3 and as high as 7.
        
               | moneywoes wrote:
               | At times that bad with the lightning network?
        
           | TimPC wrote:
           | That seems pretty sketchy if the main thing Mastercard and
           | VISA are doing is ensuring age verification is being done.
        
             | vorpalhex wrote:
             | Mastercard and Visa won't do business with adult content
             | providers directly. They force them into very high cost low
             | quality payment intermediaries.
        
               | hellojesus wrote:
               | These are known as high risk payment processors. They do
               | this because of the outsized risk of chargebacks that
               | occur against payments for porn.
               | 
               | Wife catches a weird pornhub charge on your monthly
               | statement? Whoops! Those hackers are at it again. Call it
               | fraud and charge it off.
               | 
               | The high cc processing rate accommodates the increased
               | risk.
               | 
               | Btc solves this as no chargeback is possible.
        
               | KennyBlanken wrote:
               | There are plenty of other industries which are just as
               | high or higher chargeback risks and aren't forced through
               | hoops. Gyms are a prime example. Food delivery has a high
               | chargeback risk. Gift cards are a go-to for leveraging
               | stolen debit/credit cards. You don't see the industry
               | forcing regulations here, or forcing these industries to
               | go through specific payment processors.
               | 
               | It also doesn't explain why porn actors routinely find
               | their checking accounts closed out on them, or they get
               | blacklisted entirely.
               | 
               | It has nothing to do with risk, and everything to do with
               | Christian fundamentalists in the banking industry
               | exploiting their positions in industries we need, to
               | force their morals on others.
        
               | ClumsyPilot wrote:
               | the problem with free market fundementalists is they deny
               | that stereotypes, emotion and plain stupid decision
               | making are often having greater effect than the hand and
               | foot of the market
        
             | [deleted]
        
             | chevill wrote:
             | They stopped being able to process credit cards because
             | Mastercard and VISA cut them off when there was a public
             | outcry about PH doing such a shitty job of moderating
             | illegal content that everyone got the impression they were
             | supporting it.
             | 
             | PH didn't decide "we are only gonna accept crypto so we can
             | circumvent the system" it was a position forced upon them
             | as a punishment for their shitty behavior. Now they are
             | trying very hard to moderate effectively in order to win
             | back the good graces of the payment processors because they
             | are probably going to eventually go bankrupt if they don't.
        
               | zakki wrote:
               | Why do you think it is a forced position? If they are
               | shitty they've got the consequences.
        
               | chevill wrote:
               | I might not understand your question. I'm not saying the
               | payment processors were wrong to blacklist them. PH was
               | being genuinely scummy.
               | 
               | Its a forced position because PH very much wanted to
               | continue to accept credit cards, which I suspect was
               | where 99% of their income was from. However, the payment
               | processors blacklisted them so they can't.
        
               | ClumsyPilot wrote:
               | Pornhub had a large blogpost claiming that thye are
               | better at filtering illegal content than facebook, and
               | that the latter has many times greater problems with
               | illegal content.
               | 
               | the post claimed that Pornhub has been targeted because
               | of their industry.
               | 
               | i have never verified the veracity of these claims, but
               | they seem plausible
        
               | threeseed wrote:
               | > Pornhub had a large blogpost claiming that thye are
               | better at filtering illegal content than facebook, and
               | that the latter has many times greater problems with
               | illegal content
               | 
               | Facebook is also orders of magnitude larger and has to
               | deal with content that blurs the line between legal and
               | illegal. It's a significantly more difficult task.
        
         | Nextgrid wrote:
         | Is there really enough motivation for paying for porn? There's
         | so much of it out there for free.
        
           | staticassertion wrote:
           | There's a lot of "mainstream" porn but if you're a furry or
           | have niche interests I imagine you're dealing with a much
           | more limited content market.
        
           | antasvara wrote:
           | The article states that half of PornHub's revenues per year
           | were coming from subscriptions. I would take that as some
           | evidence that people are paying for porn.
           | 
           | In a lot of ways, crypto makes perfect sense for porn
           | payments. The anonymous nature is most likely a value add for
           | most porn subscription holders.
        
             | stemlord wrote:
             | Sure but crypto is an order of magnitude more complicated
             | to get going than using an existing cc. Most people don't
             | already have a form of crypto payment at the ready when one
             | hand is covered in lube and they just need to hit the
             | "confirm subscription" button. I would need to do days of
             | research before I could confidently buy porn with a
             | cryptocurrency.
        
               | rglullis wrote:
               | Do people get credit cards just to pay to watch something
               | online? Of course not.
               | 
               | With crypto is the same. Once you setup a crypto wallet
               | and learn how to use it, you can pay for anything with
               | it.
        
           | pastacacioepepe wrote:
           | Just check the most famous adult content websites' revenue...
        
             | Nextgrid wrote:
             | Surely that's based on ads though?
        
               | pastacacioepepe wrote:
               | Nah, AFAIK ads pay very little for adult content
               | websites, most websites now have a subscription based
               | model and the possibility to buy additional content once
               | subscribed.
        
               | NineStarPoint wrote:
               | As I understand it Mindgeek (Pornhub) makes about half
               | their money from ads, but they are easily the largest
               | advertiser in the industry. It seems likely that
               | subscriptions/purchases still represent the majority of
               | porn income.
        
           | Stevvo wrote:
           | A lot of people pay on OnlyFans, so depending on the value
           | proposition, yes, people are motivated to pay for porn.
        
             | Noumenon72 wrote:
             | And if you're motivated to pay for porn, but not to give a
             | site your driver's license like OnlyFans requires, crypto
             | actually would be better for that.
        
             | cbozeman wrote:
             | Yes, but I would be willing to bet my bottom dollar if you
             | actually sat these people down with a licensed clinician,
             | you'd find a lot of mental illness. From what I've seen a
             | lot of these people have some delusion, no matter how
             | 'strong' or 'weak' that delusion is, that they've developed
             | a 'relationship' with the creator, not realizing that
             | almost no woman would _ever_ seriously consider any of
             | these men as a long-term... or frankly, even short-term...
             | partner.
             | 
             | If there's one thing that evolutionary psychology has
             | shown, it's that women's psychology for the mating market
             | is not wired that way.
        
               | carlhjerpe wrote:
               | If you sat any significant amount of people down with a
               | licensed clinician you'd find a lot of mental illness.
        
               | moneywoes wrote:
               | Unfortunately based on their numbers, it's a lot of men
        
               | regularfry wrote:
               | That in no way affects how likely they are to pay, given
               | that (in some volume) they already do.
        
           | rodgerd wrote:
           | 1. There's an ethical argument for people that they ought to
           | pay for work.
           | 
           | 2. The above is stronger for areas that aren't well-served -
           | women directed producers for example.
           | 
           | 3. Parasocial relationships have become a huge driver of
           | revenue for performers - hence OnlyFans and other Patreon-
           | like services.
        
           | throwuxiytayq wrote:
           | There's so much of it out there _for a reason_. Never
           | underestimate how horny (some) people are.
        
         | jjtheblunt wrote:
         | > the next place
         | 
         | is there a current place they're commonly used ?
        
         | mrkramer wrote:
         | Satoshi about porn:
         | https://bitcointalk.org/index.php?topic=671.msg13844#msg1384...
        
         | [deleted]
        
         | toyg wrote:
         | I know of at least one sex-related forum that now supposedly
         | requires btc to join. (This said, the related statement on the
         | homepage mentions an absurdly high amount, probably set years
         | ago and promptly forgotten...)
        
         | Melting_Harps wrote:
         | > I've suspected that the next place cryptocurrencies will see
         | usage for actual consumer payments will be porn.
         | 
         | It's been done, to various levels of success; it has it's
         | humble beginnings with cam girls via BTC (look up Girls gone
         | Bitcoin), and then as alts got traction post 2017 things like
         | CUM (Cryptographic Ultra Money) [0] try to make headway but
         | failed miserably as most alts usually do.
         | 
         | After Onlyfans threatened to take down all the adult content it
         | had a real chance of making itself a MVP in this ecosystem,
         | unfortunately these projects live and die based on short-term
         | price swings and as you can see the value has made it
         | essentially unfavorable for anyone but pump and dumpers.
         | 
         | I'd argue that BTC can and has shown more promise for sex
         | workers, I've gone into detail about my first hand experience
         | when in the early stage of my startup I interacted with the
         | 'ladies of backpage' when Visa and MC shutoff access to
         | purchasing ads on Backpage on here before. I just think that
         | sex workers have enough on their plates that it shouldn't be
         | this hard to just to solve something so trivial which many pay
         | for, espcially if either Visa or MC want to be puritanical it.
         | 
         | 0: https://coinmarketcap.com/currencies/cumrocket/
        
         | meirelles wrote:
         | I think their business model is like a gym - they need people
         | making an effort to cancel, not to renew... Crypto works for
         | one-time payments, but it sucks for recurring transactions. Too
         | much hassle to pay every month, people would just give up.
        
           | ChadNauseam wrote:
           | That's a good point. I think other business models are
           | possible, though, if less lucrative. One example is one-time
           | payments to buy videos, or to tip an artist that you for some
           | reason feel like tipping.
        
           | Stevvo wrote:
           | I can sign 12 transactions with my private key now and
           | automate sending them out every month. If I don't want to be
           | responsible for sending the transactions, a smart contract
           | can do it for me. This can be abstracted away from the user
           | and made as intuitive as any other payment flow.
        
           | rglullis wrote:
           | > I think their business model is like a gym
           | 
           | With micropayments, the business model becomes (quite
           | literally) pay-per-view.
           | 
           | > it sucks for recurring transactions.
           | 
           | The UX is bad at the moment, but with crypto there is this
           | idea of "streaming payments", which work very well as a
           | substitute for subscriptions. Basically, you make only one
           | initial transaction to set up the "subscription" with a
           | locked deposit. On every block (or on every X seconds if you
           | are doing off-chain), a small transfer is made. You only pay
           | gas if you need to "top-up" the balance or when you want to
           | close the stream.
        
           | abraae wrote:
           | It's a good point but worth noting that the Mullvad VPN
           | (which, like porn, has a strong driver for privacy) recently
           | got rid of susbscription payments altogther.
           | 
           | Their reasoning was that you can't handle recurring payments
           | without holding a lot of personal data.
           | 
           | Perhaps porn sites that want to offer inter-species furry
           | porn should bite the bullet and only accept one-off payments,
           | just so they can make effective use of crypto.
        
           | Hellbanevil wrote:
        
           | aranchelk wrote:
           | I think recurring payments are a pretty good use case for
           | smart contracts, you load up a wallet defined in the contract
           | with some cash, similar to a prepaid debit card, then
           | authorize scheduled payments specifying a recipient, a
           | frequency, and an amount.
           | 
           | It's not ideal for that type of derelict subscription
           | business model (e.g. the gym), but neither are prepaid debit
           | cards or virtual cards with predetermined spending limits,
           | and they probably already contend with those.
        
         | racl101 wrote:
         | Who even pays for it these days?
        
           | sedev wrote:
           | This would be a great time to reread the classic "Better Than
           | Free" essay. https://kk.org/thetechnium/better-than-fre/ By
           | my count, the average OnlyFans account absolutely nails 5 out
           | of the 8 "generative" qualities that Kelly identifies.
        
         | rodgerd wrote:
         | > I've suspected that the next place cryptocurrencies will see
         | usage for actual consumer payments will be porn.
         | 
         | If cryptocurrencies were useful for this problem, they'd have
         | been adopted already. It's an sector whose businesses and
         | workers are very savvy about anything that helps them evade
         | repression.
        
       | adammarples wrote:
       | Curious why FT articles always seem to only show up on HN about 5
       | days after they're published
        
       | codebolt wrote:
       | And they should be doing much more. Age verification should
       | require a credit card. The idea that hardcore porn should be
       | freely accessible to anyone (including children) on an anonymous
       | basis needs to be put to rest.
        
         | roflyear wrote:
         | Have we lost our minds. If you're worried about your kid seeing
         | porn don't let them on the internet.
        
         | hulitu wrote:
         | And they shall support more guns. Every child is entitled to
         | its own gun, to defend itself.
         | 
         | I don't know about ... but as a child my access to porn was
         | rather ... limited ( to not say restricted ).
        
         | nly wrote:
         | Requiring a _credit card_ for age verification before getting
         | access to otherwise free porn (like on pornhub) will likely
         | just leave paper trails for millions of men accessing porn,
         | cause embarrassment, lead to privacy issues, blackmail, and
         | wreck relationships.
         | 
         | It will also probably lead more men to pay for porn, since the
         | companies running these websites will then make it one click.
         | 
         | Systems like Mozilla Persona would solve this on a technical
         | basis, and was way ahead of its time, but there's no political
         | incentive to standardise on something like this.
        
           | ALittleLight wrote:
           | That sounds like a problem for those men. If your partner is
           | against you consuming porn perhaps that's something for you
           | and your partner to resolve. Exposing children to hardcore
           | pornography in order to save dishonest men some inconvenience
           | seems a poor trade.
        
             | nly wrote:
             | It's not for you or I to dictate how much people should
             | share within their personal relationships.
             | 
             | Maybe telling your partner that something isn't any of
             | their bloody business is a perfectly valid thing to do, and
             | an acceptable answer, even after, say, 50 years of
             | marriage? It's a relationship, you are not a single
             | conscienceness.
             | 
             | Personally, I'd argue having secrets from your partner
             | doesn't necessarily make you dishonest. _Lying to your
             | partner_ makes you dishonest.
             | 
             | Anyway, my broader concern is I still wouldn't want my
             | _credit card company_ knowing my sexual preferences anymore
             | than I 'd want an ad company like Google knowing my medical
             | status.
        
             | ziddoap wrote:
        
       | darawk wrote:
       | Remember this the next time someone asks what the point of
       | politically neutral money could possibly be.
        
       | amelius wrote:
       | Apple is too.
        
       | stefantalpalaru wrote:
        
       | notnice wrote:
       | https://archive.ph/zXKuD
        
       | tiffanyh wrote:
       | For those confused by the title, here's what's going on ...
       | 
       | Mastercard/Visa are required by law to not knowingly allow the
       | purchase of illegal goods/services (they can't facilitate the
       | payment of illegal activites).
       | 
       | As such, they require such websites (merchants) to prove that
       | individuals in such videos are of legal age (no minors in the
       | videos, because if so - that's illegal and horrible).
       | 
       | This seems totally fair, commendable and hard to disagree with -
       | if you ask me.
        
         | [deleted]
        
         | pastacacioepepe wrote:
         | Identity and age verification is a very important tool against
         | revenge porn and exploitation so I personally welcome it,
         | whoever pushes for it.
        
           | hbn wrote:
           | How would this stop that? This would only stop the sale of
           | known revenge porn. I don't think most of it makes it way on
           | the internet through sale. It gets posted anonymously on porn
           | sites.
           | 
           | Revenge porn is already illegal. If someone were to sell it,
           | the problem with that scenario is not that those people were
           | able to exchange currency, and I don't like the idea of
           | setting up more barriers on the ability to give someone
           | money.
        
             | pastacacioepepe wrote:
             | > I don't think most of it makes it way on the internet
             | through sale. It gets posted anonymously on porn sites.
             | 
             | Yes, and as far as I know you can't do that on websites
             | like OF or PH, due to them requiring you to verify the
             | identity of everyone involved in the video.
             | 
             | Thus, it's impossible now to upload content without the
             | consent of everyone involved, at least on those 2 (major)
             | websites.
        
               | hbn wrote:
               | > at least on those 2 (major) websites
               | 
               | So... you didn't stop it. You only stopped it on a couple
               | websites by making all content creators to provide
               | identity verification
               | 
               | The only way to actually stop it is completely remove
               | anonymity from the internet. Which is a nightmare
               | scenario for many reasons. But it seems to be the current
               | direction we're going.
        
         | jdasdf wrote:
         | It's not their business.
        
         | LudwigNagasena wrote:
         | Uhm, if a company directly engages in illegal activities it
         | should be shut down by the government. The idea that it should
         | be simply cut off from payment networks makes no sense. I don't
         | see that as fair.
        
           | ehhthing wrote:
           | But that's not the point is it? The point is that Mastercard
           | and Visa are facilitating the transfer of money for illegal
           | transactions. In the same way you can't start a bank to
           | facilitate money laundering, Mastercard and Visa cannot
           | knowingly facilitate the transfer of money for illegal goods.
        
             | scarface74 wrote:
             | Yet they do
             | 
             | https://news.bitcoin.com/5-major-banks-exposed-for-moving-
             | tr...
        
             | lmm wrote:
             | There should be something like a safe harbour / common
             | carrier provision. We recognised that this was vital for
             | postal and telephone networks, that the benefits of a
             | neutral network outweighed the costs of carrying crime
             | sometimes. It should be the same for money transmission.
        
             | danenania wrote:
             | The problem is they are going beyond what's illegal and
             | cutting off usage/content they just don't like for whatever
             | reason--see the vampire porn example in another comment,
             | wikileaks, etc.
             | 
             | Do we want unaccountable monopolies making decisions about
             | who can access the financial system and who can't based on
             | their own subjective values?
        
           | dsr_ wrote:
           | That's three different entities:
           | 
           | Whoever is supplying content to PornHub has to uphold the
           | law. They do that by providing evidence that there are no
           | minors in the adult content (easy for a legit business) and
           | that they hold copyright (somehow this gets forgotten).
           | 
           | PornHub has to uphold the law. They do this by keeping
           | records supplied by the content producers about verification
           | of actor's ages; when there's a problem, they need to remove
           | the content. If there's a recurring problem, they need to bar
           | the source.
           | 
           | MasterCard has to uphold the law. They do that by
           | investigating complaints, and if they find illegal content,
           | they send PornHub a warning. If PornHub doesn't act, either
           | by showing that the content is legal or by removing it, MC
           | has to drop PH.
        
             | ClumsyPilot wrote:
             | Mastwrcard doesn't find illegal content - they find
             | somwthing they Think is illegal, and they could be wrong.
        
           | bitwize wrote:
           | The idea is that MC and Visa are themselves at risk of being
           | shut down by the government if they knowingly allow payments
           | for illegal activity. Companies being what they are, to avoid
           | the risk of impropriety they forbid more than what the law
           | technically does.
        
             | ClumsyPilot wrote:
             | > Visa are themselves at risk of being shut down by the
             | government if they knowingly allow payments for illegal
             | activity.
             | 
             | surely this is a joke. when was the last time government
             | has shut down a major financial institution? From 2008
             | securities fraud to HSBC being involved in laundering drug
             | money, this never happens
        
               | tflinton wrote:
               | Governments shutdown financial institutions or threaten
               | to pretty regularly.
               | 
               | India suspended mastercard for failing to adhere to their
               | new data privacy laws in 2018
               | (https://www.reuters.com/business/finance/mastercard-
               | shifts-f...).
        
             | KennyBlanken wrote:
             | > The idea is that MC and Visa are themselves at risk of
             | being shut down by the government if they knowingly allow
             | payments for illegal activity.
             | 
             | Operative word being knowingly. Demanding every customer
             | prove every part of their business is legal activity !=
             | "not knowingly allow illegal activity."
             | 
             | Also, the notion that MC or Visa would be shut down over
             | this sort of thing is absurd.
        
         | xyst wrote:
         | This is fine. But they also use their weight to punish sex
         | workers.
         | 
         | There was a case recently that forced PH to delete a shit ton
         | of content. Some of it was not even porn (just random gaming
         | videos).
         | 
         | No due process. Just visa/mc threatening to no longer process
         | their transactions
        
           | adrr wrote:
           | Pornhub execs can go to jail if they don't remove stuff that
           | is illegal and prevent sex trafficking on their site.
           | Facilitating and distribution itself is a crime. PH isn't a
           | government prosecutor they have error on the side of caution
           | and due process is right you have with the government not a
           | private business.
        
           | elmomle wrote:
           | It's probably more correct to say that the whole system
           | exploits sex workers. No intention to punish is necessary--MC
           | & Visa are happy to make as much money as possible while
           | ultimately dumping all risk onto the individuals making the
           | content.
        
           | jdmichal wrote:
           | I'm confused... Where does due process come into play in a
           | contractual relationship between two companies? It's
           | applicable to governmental entities in criminal law. Contract
           | disputes both do not involve the government outside of a
           | request by the parties for litigation, and are civil and not
           | criminal law.
        
             | skeaker wrote:
             | Because the credit companies are acting under the guise of
             | the law. "I don't want to end business with you, but the
             | law compels me to do this!" If you haven't broken the law,
             | there's no way to appeal this decision they've made as they
             | do not have a route for that.
             | 
             | That aside, the ability to pay a service is pretty much
             | fundamental to its existence. Being able to at-will
             | terminate any company you want, even ones that are provably
             | innocent, with no way for them to so much as appeal against
             | your decision is a worrying amount of power for a company
             | to hold. I don't think that even the government can do
             | something like that (at least not legally).
        
               | jdmichal wrote:
               | The law tells them who they can do business with, and
               | they comply. That's not really a _guise_ , unless me
               | driving the speed limit is also a guise... If there's any
               | challenge here, it's that such law restricts card
               | networks' freedom of association. Which the US only has
               | as an extension to freedom of speech... So I'm not sure
               | that challenge would work, when the entire point is that
               | certain forms of speech are what's being limited.
        
         | vorpalhex wrote:
         | Mastercard and Visa are not a court system. There is no due
         | process. There is no appeals process.
        
           | ehhthing wrote:
           | What, exactly is the alternative? The system might not be
           | perfect or even good, but as far as I can see there is no
           | alternative to this kind of issue. Even if there were a
           | million different credit card companies (and god help us if
           | that ever happens), they would still be bound by the same
           | requirements.
        
             | dymk wrote:
             | There is no competition in the duopoly that is MasterCard /
             | Visa, and so there will be no improvement in service. They
             | don't have to build things customers want to not go out of
             | business.
             | 
             | The solution is something like Section 230 but for CC
             | vendors. If Visa processes an illegal payment and the
             | government finds out, Visa is off the hook, and the
             | merchant gets a letter from the government. The payment
             | processor has a duty to report, and that's it.
        
             | klabb3 wrote:
             | > What, exactly is the alternative?
             | 
             | A simple solution is to let the government do the
             | blacklisting, and payment providers only need to (1) comply
             | with the blacklist, (2) report suspicious activity, same as
             | today. It would be a serious offense for companies to keep
             | their own moral blacklists.
             | 
             | > Even if there were a million different credit card
             | companies [...], they would still be bound by the same
             | requirements.
             | 
             | Under monopolistic market conditions, there's way less
             | incentive to saturate all corners of the market. Just
             | because it didn't pass VISAs risk/reward calculation
             | doesn't mean that other companies would come to the same
             | conclusion. It's hard to give an exact prediction, but
             | generally when monopolies/oligopolies go away the market
             | situation improves for all other parties.
        
             | noasaservice wrote:
             | One such possibility is for the USPS to open a non-profit
             | banking system at every post office in the country. That
             | would allow the now-unbanked to get an account.
             | 
             | And the USPS has strict regulations on when they can and
             | cant deal with, especially in packages. I could see similar
             | on banking regs too.
             | 
             | Naturally, Visa/Mastercard/Amex/Discover really dont like
             | this.
        
               | KennyBlanken wrote:
               | More banks and wire transfer companies like Wells Fargo
               | and Western Union, as well as the mega-banks like BoA
               | that make their money off poor people getting hit with
               | fees...less credit card companies.
        
             | pyrale wrote:
             | e.g. Mastercard and Visa could be required to report
             | suspected violations to a regulatory body, to which the
             | incriminated party could appeal.
             | 
             | That would help separate denial of service derived from
             | regulation and denial of service derived from corporate
             | policy. It's a big step in terms of transparency of the
             | impact public policies have.
        
             | danenania wrote:
             | The alternative would be that payment processors don't deny
             | anyone unless a government regulator tells them to, and
             | then it's the regulator's responsibility to draw the line.
             | 
             | It certainly wouldn't be perfect either, but at least there
             | would be some measure of legislative/electoral
             | accountability.
        
               | jandrese wrote:
               | This of course runs into the problem that the government
               | doesn't have a regulator for the Internet. The FCC could
               | maybe be pressed into the role, but it's not entirely
               | clear what mandate they could have over what is
               | effectively a giant privately held network. The
               | government doesn't run the root nodes nor any of the
               | nodes between you and the porn. They do run large
               | networks, but those are merely attached to the internet,
               | not integral to it.
               | 
               | There is the other issue that people are rightfully
               | concerned about the creation of morality police, as they
               | have a long and sordid history of suppressing minority
               | communities for reasons that aren't in the public good.
               | Everyone agrees that child porn videos should be
               | banned/prosecuted, but after that it gets down to where
               | to draw the line and that's an endless source of
               | conflict. Some people will claim that homosexual content
               | is just as damaging as child exploitation while others
               | will say that banning homosexual content is damaging to
               | the community. They will not find a working compromise.
        
               | TimPC wrote:
               | I know the current Supreme Court of the US is grossly
               | biased in their decisions on such questions so it's not
               | clear what organization in the US would actually be
               | capable of enforcing this fairly.
        
               | danenania wrote:
               | These are good points. But the problem, as discussed in
               | this article and the comments, is we already have defacto
               | morality police: the credit card monopolies.
               | 
               | Given we're going to have content police in some form (we
               | clearly do need them to an extent), shouldn't they be as
               | transparent and accountable as possible?
               | 
               | We should have the equivalent of bodycam footage when a
               | decision is made--a paper trail showing who signed off
               | and what the rationale was. There should be a process for
               | appeals. Decisions shouldn't be political or religiously
               | motivated.
               | 
               | Being cut off from the financial system is as much an
               | imposition on a person's rights as being fined or
               | arrested by the government. Sure, it needs to happen
               | sometimes, but there should be protection against being
               | targeted in an arbitrary or abusive way.
        
               | regularfry wrote:
               | Also: which government? I also don't want US regulators
               | controlling UK content because historical accident has
               | put payment oligopolies under US jurisdiction.
        
               | pyrale wrote:
               | > This of course runs into the problem that the
               | government doesn't have a regulator for the Internet.
               | 
               | The thing needed here is a regulator for payment
               | services, not one for the internet. That's a much
               | narrower scope.
        
         | SilverBirch wrote:
         | It's also worth pointing out that it was only after a peice in
         | the NYT that Visa/Mastercard really actually paid attention to
         | the fact that Pornhub really was only paying lipservice to
         | these laws. It's not like Visa have been going around on some
         | moral crusade, they were brought to this through bad press
         | after close to a decade of not really doing their job.
        
         | CaliforniaKarl wrote:
         | > As such, they require such websites (merchants) to prove that
         | individuals in such videos are of legal age (no minors in the
         | videos, because if so - that's illegal and horrible). > > This
         | seems totally fair, commendable and hard to disagree with - if
         | you ask me.
         | 
         | Indeed! Though it's important to note that it's more than just
         | that (as important as age verification of performers is!).
         | 
         | Mastercard and Visa are also acting as de facto controllers of
         | what is acceptable content. In other words, not just who is
         | participating, but what is being done.
         | 
         | For example, "... blood is banned, even blood obviously made of
         | ketchup. This is a disaster for vampire porn, which is akin to
         | a forbidden good on the internet." That's not my thing, but I
         | also don't think Mastercard and Visa should be the ones who
         | regulate that.
        
           | theturtletalks wrote:
           | Yes, OP also misses the fact that Visa and MC can gate-keep
           | legal activities as well. Selling smoking accessories is
           | legal under US law, but good luck getting a payment processor
           | that'll let you sell those goods online. You can get a high
           | risk processor, but they hold your funds for longer, charge a
           | higher rate, and you can lose processing ability at any time.
           | 
           | If you're established, Visa and MC will make exceptions, but
           | who decided to make Visa and MC the deciders on what people
           | can and cannot sell. That's what US laws are for. In my
           | opinion, this is the only use case for crypto that I can see
           | playing out, decentralized payments. Sure fees maybe higher,
           | but at least a private company can't restrict what you can
           | sell online while whitelisting some competitors.
        
             | KennyBlanken wrote:
             | > Sure fees maybe higher, but at least a private company
             | can't restrict what you can sell online while whitelisting
             | some competitors.
             | 
             | Until exchanges turn around and do the same thing as
             | Visa/Mastercard once they have enough market share...and
             | they aren't subject to anywhere near as many regulations.
        
               | theturtletalks wrote:
               | Sure that could happen, but I'd hope there's enough
               | competition in crypto payment processing that keeps them
               | honest. Visa and MC have too big of a strong hold right
               | now.
        
             | tiffanyh wrote:
             | > OP also misses the fact that Visa and MC can gate-keep
             | legal activities as well. Selling smoking accessories is
             | legal under US law, but good luck getting a payment
             | processor that'll let you sell those goods online
             | 
             | Visa & MC are not processors.
        
               | theturtletalks wrote:
               | Yes, but Stripe or Paypal adhere to their rules. Visa and
               | MC are the reason those processors don't allow high risk
               | businesses.
               | 
               | For example, OnlyFans last year nearly banned adult
               | content because their processor was going to drop them.
               | Visa/MC were blamed for that, but they ended up making an
               | exception. If you go out to build an OnlyFans
               | alternative, you won't get a processor.
        
               | tiffanyh wrote:
               | So are you suggesting Visa/MC shouldn't comply with laws
               | & regulation?
               | 
               | Visa/MC aren't the "bad guys" here. They are just trying
               | to adhere to the required laws & regulations impose on
               | them.
               | 
               | EDIT: I can't reply to your comment below, so I'm going
               | to reply here.
               | 
               | > If selling adult services or goods is "illegal," then
               | the US law should codify it, not leave it up
               | Visa/MC/processors to decide.
               | 
               | This is where I think you're confusing matters. Visa/MC
               | aren't "deciding". They are simply asking a merchant to
               | prove if unknown activity is NOT illegal.
               | 
               | If the merchant can't prove its not illegal, then correct
               | - that merchant can't continue to transact.
               | 
               | But they aren't deciding. And that's the big difference.
        
               | theturtletalks wrote:
               | >> So are you suggesting Visa/MC shouldn't comply with
               | laws & regulation?
               | 
               | Of course Visa/MC should stop payments for illegal
               | activities, but they go after legal activities as well.
               | That's the issue. If selling adult services or goods is
               | "illegal," then the US law should codify it, not leave it
               | up Visa/MC/processors to decide. And it Visa/MC straight
               | up banned these sort of payments, it wouldn't be an
               | issue, but they play favoritism for some companies and
               | ban others out right. Not to mention, many legal
               | businesses lose payment processing ability without even a
               | reason. They claim that even giving a reason will give
               | violators too much information about their internal
               | security.
               | 
               | The EU is actually building their own payment system to
               | combat this [0] and I really think the US should as well.
               | 
               | 0. https://ec.europa.eu/info/law/payment-services-
               | psd-2-directi...
        
             | atlasunshrugged wrote:
             | Why hasn't crypto made inroads into this world yet? Porn is
             | historically an early adopting industry (online payments,
             | thumbnail play w/scroll, VR, etc.) and this seems like a
             | theoretically optimal use case where someone would desire
             | some level of anonymity or at least some obfuscation as to
             | their identity
        
               | theturtletalks wrote:
               | I was very excited about Solana Pay[0] when it dropped
               | last year, but it doesn't seem to have gotten much
               | traction.
               | 
               | 0. https://solanapay.com/
        
               | atlasunshrugged wrote:
               | Interesting, will they have a TOS similar to Coinbase
               | Commerce (which bans porn as a business category)
               | https://commerce.coinbase.com/legal/terms-of-service/
        
           | duskwuff wrote:
           | Yep. The problem is that the credit card issuers' regulations
           | go _way_ beyond determining that the content being purchased
           | is legal, and well into judging the morality of that content.
           | Credit card processors go even further; many of them forbid
           | sales of adult products and services entirely.
        
             | quest88 wrote:
             | I don't believe that. These companies want to make money
             | and would love to make more. They also don't want to lose
             | money, so they find ways to decrease risk. Their lawyers
             | probably tell them what's risky and draw the line there. If
             | you don't want them making these judgements then voters
             | should tell their regulator exactly what is and isn't ok.
        
               | ClumsyPilot wrote:
               | > then voters should tell their regulator exactly what is
               | and isn't ok.
               | 
               | like what, a list of allowed porn Ganres? thats not
               | making any sence.
        
           | robonerd wrote:
           | Vampire fetish stuff seems harmless to me, but I'm not
           | surprised Visa and Mastercard don't want to get into the
           | weeds of determining the difference between special effects
           | and actual self-harm / mutilation. There is a whole lot of
           | gray area in between there (piercing fetish, etc), but they
           | probably feel compelled to draw a line somewhere. Whether or
           | not the video _seems_ to show blood (real or fake) seems like
           | a criteria that can be judged with reasonable objectivity,
           | and errors on the side of caution.
        
         | Barrin92 wrote:
         | that is literally not what's going on given the content of the
         | article. As the article points out the self imposed regulations
         | do not only concern minors or illegal content, but an entire
         | plethora of sexual content. From furries, to 'vampire porn', to
         | depiction of aliens, any mention of blood (a livecammer giving
         | the example of not even being able to mention the word
         | 'period') and so on.
         | 
         | The topic is not mastercard/visa indirectly enforcing the law,
         | it's a private institution pushing their own sexual morality on
         | others, by virtue of controlling the payments industry.
        
         | jshen wrote:
         | this is not fair because they don't do this consistently in
         | other industries.
        
         | polote wrote:
         | Visa and mastercard can do anything they want as long as they
         | want to do it. They just don't want to deal with porn by choice
        
           | quest88 wrote:
           | Really? You think a company that likes money says "You know
           | what, we don't need to make any more.". Given that they like
           | money, they're probably afraid of losing money from lawsuits
           | due to breaking regulation.
        
             | NineStarPoint wrote:
             | Plenty of other reasons they might decide not to deal with
             | it besides regulation, such as the large chargeback issue
             | the industry has or pressure from fundamentalist groups
             | that hate pornography on principle.
             | 
             | It also isn't actually that uncommon for companies to make
             | decisions for moral reasons, for all that we talk of
             | corporations as money-hungry husks they are ultimately made
             | up of people and have their own internal culture.
             | Traditionally they'd eventually be outcompeted by a company
             | who doesn't have an issue with the action, but given the
             | stranglehold Visa/MasterCard have on the industry that
             | seems unlikely in this case.
        
             | ClumsyPilot wrote:
             | a comoany doesn't have a brain, people do. And people have
             | personal agendas.
        
       | mrmanner wrote:
       | > A section on furries, an online subculture interested in
       | anthropomorphic animal characters with human personalities, reads
       | "content that depicts furries and humans engaged in sexual acts
       | are not permitted across the board. Content that depicts furry
       | engaged in sexual acts with another furry is acceptable across
       | the board." Lest that leave any room for misinterpretation:
       | "Please note, per Visa regulations a furry that contains human-
       | like characteristics is not permitted." So, no half-man, half-
       | furry.
       | 
       | Oh, what I would give to be a fly on the wall in that meeting
        
         | hombre_fatal wrote:
         | This reminds me of alt.sex.stories with disclaimers like "all
         | events in this erotic story take place on a planet where 1 year
         | in the story = 100 earth years." So the step-dad in the story
         | is merely hanging out with a 1,700-year-old babysitter thus
         | it's not lewd at all.
        
         | mometsi wrote:
         | A fly with human characteristics doubly so
        
           | minimaxir wrote:
           | David Cronenberg really predicted the future in 1986.
        
       | lifeisstillgood wrote:
       | And so if you want to control (regulate / protest) pornography
       | start with the Mastercard AGM.
       | 
       | It is interesting to note that Mastercard and other "reluctant
       | content moderators" are starting the slow process of identifying
       | the minimum globally acceptable standards. What is legal in one
       | place may be illegal elsewhere but some global common level /
       | trade off is being sought.
        
       | post_break wrote:
       | They are also the regulators of guns and accessories. Operation
       | Choke point for example. Apple is the purity police too.
        
       | bediger4000 wrote:
       | This is just as it should be. Let the markets decide!
        
       | ralston3 wrote:
       | > Mastercard and visa are the de facto regulators of porn
       | 
       | This doesn't have to be the case. There is infrastructure in
       | place for these adult content providers to switch to crypto. It
       | seems to be rather trivial for them to setup fiat on/off ramps
       | for their customers.
        
         | staticassertion wrote:
         | So then the exchanges would be the regulators? Also now you
         | have a nice public ledger of what porn everyone is buying lol
        
       | goldcd wrote:
       | I'm just bemused by the world I find around me.
       | 
       | We seem to have completely lost our grasp on differentiating
       | "real things" and "made up things"
        
       | issa wrote:
       | Not entirely related, but in my personal cache of "I was almost a
       | billionaire" stories, my favorite is when I was approached to
       | build a porn platform that would accept payment in Bitcoin. Who
       | knows if the site would have made money, but we would have
       | purchased a LOT of Bitcoin at under $1.
        
         | cowtools wrote:
         | I think the scarcity is a bad feature for a currency used for
         | payments. It encourages users to hold instead of spend.
         | 
         | I imagine that's a major reason why we don't see many payment-
         | oriented cryptocurrency use-cases. The allure of speculative
         | investment is too great for many.
        
       | UnpossibleJim wrote:
       | So just to move this into a recent topic (and please have a civil
       | conversation - or I'll just delete this thread), given that this
       | will soon be a grey area in many of the U.S. states, would it
       | behoove Visa and Mastercard to regulate purchases of the "Morning
       | After Pill" or "Plan B" to avoid future litigation or moral
       | outrage, if they are also going to take such "moral high ground"
       | stances against a rather banal item as pornography?
        
       | fossuser wrote:
       | This article doesn't seem to mention it, but this is only a half
       | truth.
       | 
       | There was a legal liability change around payment providers and
       | accidental support of sex trafficking that changed the calculus
       | around risk for supporting these services.
       | 
       | As a result many of the payment providers backed out.
       | 
       | They're not really the "de facto" regulators - they're responding
       | directly to incentives placed on them by government regulators.
       | 
       | Write up on this law here: https://www.wired.com/story/how-a-
       | controversial-new-sex-traf...
        
         | KennyBlanken wrote:
         | The issue is not MC or Visa protecting sex trafficking victims
         | or kids. It's purely a moral code.
         | 
         | > Out of curiosity, about five years ago Stoya contacted
         | CCBill, one of the biggest payment companies specialising in
         | porn. Rather than the "acceptable use" policy on its website,
         | she asked if she could see their full guidance. The detailed
         | list. The one that precisely laid out the limits of what CCBill
         | believed Visa and Mastercard would tolerate.
         | 
         | > The four pages of rules shared with her are written in a
         | lawyerly tone and are, in parts, totally bizarre. A section on
         | furries, an online subculture interested in anthropomorphic
         | animal characters with human personalities, reads "content that
         | depicts furries and humans engaged in sexual acts are not
         | permitted across the board. Content that depicts furry engaged
         | in sexual acts with another furry is acceptable across the
         | board." Lest that leave any room for misinterpretation: "Please
         | note, per Visa regulations a furry that contains human-like
         | characteristics is not permitted." So, no half-man, half-furry.
        
       | hulitu wrote:
       | > Mastercard and visa are the de facto regulators of porn
       | 
       | TBH i'm sure that the C{E,I,T}Os of Mastercard and Visa can
       | recomend us some good sites.
        
         | beckingz wrote:
         | cxo works as shorter placeholder.
         | 
         | At least for companies that don't have a Chief eXperience
         | Officer.
        
       | paxys wrote:
       | Mastercard and Visa aren't regulating porn due to some moral or
       | religious reasons. Believe me they would love to take your money,
       | no matter what line of business it was from.
       | 
       | Ultimately they have to comply with a whole bunch of federal laws
       | regarding sale of illegal goods, money laundering, human
       | trafficking, child pornography and more. So if you want to blame
       | regulation, point your fingers at the people writing those laws
       | (aka your elected representatives).
        
         | staticassertion wrote:
         | As far as I know there is nothing illegal about drawn furry
         | pornography and no requirement on the part of Visa/Mastercard
         | to restrict access to that content. We even saw Mastercard
         | reverse their decision on OnlyFans recently due to major
         | backlash, so they obviously have the power to do so.
        
       | workingon wrote:
       | This is a false article. The largest porn site in the world
       | doesn't take visa and mastercard. Sounds to me like they aren't
       | being regulated by them at all.
        
       | s1k3s wrote:
        
       | GekkePrutser wrote:
       | Personally I think they should not be able to decide such things.
       | A payment provider should be forced to accept _all_ legitimate
       | customers. It is absolutely unwanted for a private business (in
       | an unrelated category no less) to be playing the role of
       | legislator.
       | 
       | The problem is once a majority of payment providers (especially
       | in this category where there's only really 2 major ones) starts
       | blocking things, it becomes really difficult for fringe groups
       | that are in fact perfectly legal. I understand that porn payments
       | are a bit more risky but the providers can simply have a policy
       | to deny chargebacks for this category and shift the risk to the
       | customer. Similar to the way returns of sex toys are not accepted
       | for hygiene reasons.
       | 
       | Recently there was a lot of news in the Netherlands about
       | prostitutes not being able to open bank account because all banks
       | refused them. Think of prostitution what you will but over there
       | it's legal work and they pay their taxes. But not being able to
       | get a bank account gets them into very difficult situations and
       | pushes them to shady people (which was exactly what the
       | legalisation was avoiding).
       | 
       | Also other platforms like fetlife have recently been forced to
       | validate their users, leading to potentially serious consequences
       | if this data ever becomes compromised. Many people there don't
       | even show their face so the result is that they have to give a
       | lot more personal info now than they would have wanted to.
        
         | themitigating wrote:
         | Businesses shouldn't be forced to serve customers
        
           | standardUser wrote:
           | That sounds like a libertarian perspective that may apply to
           | a radically different system of economy and government (one
           | that does not exist in practice), but the system we actually
           | have is not even remotely close to libertarian. In the mixed
           | economic system adopted by nearly every nation on the planet,
           | business face all manner of regulation and the more
           | fundamental they are to everyday life, the more they tend to
           | be regulated.
        
           | makeitdouble wrote:
           | Businesses should be free to pick and choose only when there
           | is also a public funded alternative or the product is
           | targeted at a minority. Otherwise society starts falling
           | apart.
           | 
           | Imagine there's only 3 car dealers in your region and they
           | all blacklist customers who have at least once followed Elon
           | Musk on twitter.
        
           | oifjsidjf wrote:
           | At some point when 50% of the world uses your service the
           | rules must change.
           | 
           | Facebook and Twitter can sway elections with a press of a
           | button.
           | 
           | Once your company can directly affects direct democray and
           | lives of billions these kind of statements make no sense
           | anymore.
           | 
           | Unless you like to be ruled by corporations.
        
             | li2uR3ce wrote:
             | > At some point when 50% of the world uses your service the
             | rules must change.
             | 
             | It's worse than that. They've effectively levied a tax on
             | everything (without representation). Even if you pay cash,
             | you pay (e.g.) Visa if the vendor accepts Visa. Businesses
             | are contractually obligated hide the transaction cost from
             | the consumer. This means all products and services have
             | their prices jacked up to cover the cost of accepting Visa,
             | MasterCard, etc. Even if you're paying cash, you're paying
             | into it.
             | 
             | "Cash back rewards" are essentially a discount on the tax
             | they've imposed.
             | 
             | So they tax you, they decide what you can buy, and you
             | don't get a say. Kinda fucked up.
        
             | jcadam wrote:
             | Yes, anti-trust laws came about for a reason.
        
               | jayparth wrote:
               | Yes, and we don't apply them to some companies for a
               | reason.
               | 
               | We call these businesses natural monopolies and regulate
               | them. Like forcing them to serve everyone or cap their
               | profits.
        
             | themitigating wrote:
             | Facebook and Twitter users sway elections.
             | 
             | Every company can affect democracy in some way. Foxnews had
             | a massive effect on elections, Gas prices being high
             | affects elections. Should these be regulated?
        
               | benatkin wrote:
               | > Facebook and Twitter users sway elections.
               | 
               | That's not what gp is saying.
               | 
               | Facebook and Twitter control what users, in bulk, say in
               | a way that can sway elections.
               | 
               | Facebook and Twitter moderate and suspend and users
               | adjust what they say in order to not get suspended again,
               | if they care to not get banned. (Those who don't care if
               | they get banned are a red herring.)
               | 
               | There is also the algorithmic feed which gives a lot of
               | control over what users say to other users.
        
               | evandale wrote:
               | I just quit Reddit and deleted all my accounts despite
               | gilding > 10 comments over the past year because I got
               | blacklisted from every community subreddit I wanted to
               | participate in. I brought up the bias to the admins and
               | was told mods can run their subreddit however they want
               | despite Rule 1 of the mod guidelines saying to assume
               | people are arguing in good faith.
               | 
               | I got banned because I say controversial things like
               | Black people are not disproportionately targeted by
               | police due to their race, but rather due to them
               | disproportionately having guns and knives when the police
               | show up.
               | 
               | The general public have a serious problem understanding
               | nuance and statistics and I think it's disgusting that
               | the media cry racism at every corner because it enrages
               | people and gets clicks.
               | 
               | It's even more disgusting that people fall for it without
               | realizing what the media is doing to them because they
               | can't read past headlines.
               | 
               | I'll link to the actual TPS report that shows this but
               | I'm on a slow connection right now and can't do it.
               | 
               | edit: nvm I'm dumb; it's not that but the report is named
               | 9082-2018-TPS-Annual-Report.pdf if you can find it on its
               | own. You can google "tps force report 2018 -2020 pdf".
               | I'd find it myself but I'm downloading a 12mb pdf that's
               | taking forever and I'm pretty sure this is the one.
        
               | themitigating wrote:
               | Subreddits moderate themselves, it has nothing to do with
               | Reddit. If a Reddit Admin bans you then you lose your
               | entire account.
        
               | lovich wrote:
               | Nah bud, you're just peddling lies and no one wanted to
               | hang out with you. Deleting your account after having
               | been banned everywhere has some "you can't fire me, I
               | quit energy"
        
               | evandale wrote:
               | I believe this is the report and if remember right it's
               | on page 52 or maybe 54. Decide for yourself.
               | 
               | https://www.ohrc.on.ca/en/news_centre/ohrc-interim-
               | report-to...
               | 
               | edit: nvm I'm dumb; it's not that but the report is named
               | 9082-2018-TPS-Annual-Report.pdf if you can find it on its
               | own. You can google "tps force report 2018 -2020 pdf".
               | I'd find it myself but I'm downloading a 12mb pdf that's
               | taking forever and I'm pretty sure this is the one.
        
               | themitigating wrote:
               | This isn't what this Hackernews post is about. You
               | complained about people not understanding nuance but you
               | want to dive right into argument about the police and
               | minorities?
        
               | evandale wrote:
               | I'm responding to the claim that Twitter and Facebook ban
               | points of view they don't want people to see and I'm
               | pointing out Reddit does the exact same thing.
        
               | lovich wrote:
               | So how many times on a weekly basis would you say you
               | bring up the numbers 13 and 50?
        
               | themitigating wrote:
               | In what way is facebooks moderation on or algorithm
               | related to specifically to elections
        
               | [deleted]
        
           | [deleted]
        
           | munchenphile wrote:
           | Civil Rights Act and the ADA disagree. As does Sherman Anti
           | Trust and dozens of others.
        
           | dfadsadsf wrote:
           | Businesses are forced to serve customers everyday - from
           | anti-discrimination laws to universal service for phone
           | companies. There is also argument that oligopoly should not
           | de-facto control payments and work as moral police.
        
             | willcipriano wrote:
             | This is how people want it. It's been two years of "Twitter
             | is a private platform" over and over again. If you aren't
             | going to stand for free speech when someone wants to talk
             | about the Wuhan lab, why the hell would you expect anyone
             | to defend your right to furry porn?
        
               | chipotle_coyote wrote:
               | Because it's not automatically the same thing just
               | because both are private (e.g., non-governmental)
               | organizations. A newspaper can exercise editorial control
               | over what it publishes, but AT&T can't exercise editorial
               | control over your phone calls. Hacker News can moderate
               | user content, but an ISP can't moderate what you send
               | over its network.
               | 
               | The question of whether Twitter and Facebook should be
               | treated like a phone company than they are like Hacker
               | News isn't a stupid one, and I don't think it's as
               | clearcut as people on both sides of this debate would
               | like it to be. But the question of whether a _payment
               | processor_ should be able to exercise this kind of
               | editorial control over transactions using them as an
               | intermediary is not really the same question.
               | 
               | Also, keep your paws off my furry porn.
        
               | willcipriano wrote:
               | Payment processors similarly prevented right wing sites
               | from accepting donations and payments. Gab as one example
               | had to create their own server farm and payment system in
               | order to operate since they were shut out of every other
               | provider.
               | 
               | Did you have a problem then?
        
               | robonerd wrote:
               | > _This is how people want it._
               | 
               | Some people sure. Maybe even the "twitter consensus" or
               | "HN consensus", but I think you should be very careful
               | about taking apparent consensus on these sort of social
               | media platforms as indicative of a broader consensus in
               | society.
        
               | giantrobot wrote:
               | > talk about the Wuhan lab
               | 
               | When this is just coded language meaning "racist
               | conspiracy theories", sites don't want to carry those
               | posts. Social media sites are catching on to the coded
               | language game.
        
           | thebradbain wrote:
           | Personally I think they should, with objective, explicit
           | exceptions common to all merchants, something like:
           | 1) rudeness or disrupting            2) age and health
           | 3) intoxication and indecency            4) whatever else
           | society can agree on (good luck!)
           | 
           | Both service providers and customers keep ending up in court
           | because the "right to refuse service to anyone" too often
           | becomes "discriminating against a protected class", and the
           | lines get blurrier every day. Much easier to just say "serve
           | everyone or don't go into the business of serving people" and
           | be done with it.
           | 
           | In fact, the obligation to serve customers by law would serve
           | as both a consumer and merchant protection for cases exactly
           | like this -- the fact that, until sodomy laws were ruled
           | unconstitutional in the US just a couple decades ago, many
           | banks refused to lend to otherwise-credit worthy gay couples
           | or unwed heterosexual couples for mortgages (afraid of being
           | accused of supporting illegal activities), which would be
           | more of a moot point in this sense because the onus is no
           | longer on the bank to scrutinize how someone lives their
           | personal life so long as they meet objective measures of
           | credit worthiness.
        
           | SkeuomorphicBee wrote:
           | Monopolies/oligopolies should. Imagine if your power company
           | decided they don't want to serve you.
        
           | micromacrofoot wrote:
           | Break up the oligopolies and I agree completely.
           | 
           | If Mastercard and Visa refuse to do business with you, you
           | will soon find yourself out of business.
        
         | c3534l wrote:
         | Normally I would disagree with you, but there's only two major
         | credit card companies. People aren't given a choice.
        
         | bsder wrote:
         | > but the providers can simply have a policy to deny
         | chargebacks for this category.
         | 
         | Which then allows the porn providers to do very shady things.
         | 
         | The problem with porn is that the players on both consumer and
         | provider side tend to be really shitty. The consumers are
         | causing a bunch of chargebacks whenever they get called out for
         | porn or trying to get porn for free.
         | 
         | However, the providers aren't innocent either. _LOTS_ of
         | OnlyFans girls get called out for not delivering what they
         | promised which certainly should be able to be charged back. The
         | big aggregators are generally run by people that will
         | absolutely push the boundaries of dark patterns fully knowing
         | that in person interaction will be embarassing while a
         | chargeback isn 't.
        
           | toast0 wrote:
           | I agree, you can't end chargebacks on this category. You
           | could maybe require a chargeback for 'i didn't buy this' to
           | disable that card for that category (maybe that's a feature
           | you want anyway?). You could maybe require enhanced
           | authentication for this category (3D-secure??). You could
           | charge merchants a higher fee and/or hold payments for a much
           | longer time to avoid the need to pull the money back from the
           | merchant. I think most chargebacks need to be started within
           | 120 days of the initial charge, and it's fairly annoying to
           | need to wait 4 months to get paid, but it's better than not
           | being able to access payment methods.
        
         | gnopgnip wrote:
         | Do similar laws apply to any businesses besides public
         | utilities?
        
           | giantg2 wrote:
           | We have non-discrimination laws on a variety of protected
           | classes. It seems there could be support for expanding those
           | classes, like the recent story about political affiliation
           | and that dog shelter.
        
           | GekkePrutser wrote:
           | This is a really good point. I think payment providers are
           | like utilities these days, as cash becomes more obscure in
           | society.
        
         | fsckboy wrote:
         | _Think of prostitution what you will but over there it 's legal
         | work and they pay their taxes._
         | 
         | I don't know if this has any impact on V & MC payment
         | processing, but the trafficking of women is still a problem in
         | countries with legal prostitution
         | https://en.wikipedia.org/wiki/Human_trafficking_in_the_Nethe...
        
           | yieldcrv wrote:
           | which should be treated the same as labor trafficking
           | 
           | the overlap with all forms of work are too numerous to point
           | that out as if it needs a different solution
           | 
           | labor rights, more avenues for reporting, outreach, help,
           | evaluation of the employer
           | 
           | and thats only available in a place with some form of
           | legalized framework (which can be greatly improved even in
           | those places)
        
         | giantg2 wrote:
         | "Personally I think they should not be able to decide such
         | things. A payment provider should be forced to accept all
         | legitimate customers."
         | 
         | Payment providers are companies. They should be able to decide
         | what they'll cover or not. In this case the bigger issue is
         | that you essentially have a duopoly that allows 2 companies to
         | affect the market with those decisions.
        
           | franga2000 wrote:
           | > Payment providers are companies. They should be able to
           | decide what they'll cover or not
           | 
           | Companies exist to provide people with goods and services.
           | They have no inalienable rights beyond that. If a company
           | does so in a way we see as unacceptable (in this case
           | discriminatory), we have the right to force it and the only
           | rights it has are to comply or cease operation.
           | 
           | > In this case the bigger issue is that you essentially have
           | a duopoly that allows 2 companies to affect the market with
           | those decisions.
           | 
           | Yes, everyone know that's an issue. The solution, obviously,
           | is to limit their ability to manipulate. We can achieve a big
           | part pf this this by forcing them to serve everyone equally.
        
           | GekkePrutser wrote:
           | I feel like in today's world they are also kind of utilities.
           | This is where the trouble starts. If you want to run a
           | business these days (especially online) you _need_ a payment
           | provider in many cases, and pretty much always need a bank
           | account.
        
         | timcavel wrote:
        
         | monksy wrote:
         | Also in this category. Buying weed from a depensary. You can't
         | buy it with a debit card or credit card. The processors won't
         | allow it.
         | 
         | But you can ATM loophole your way through it.
        
           | MBCook wrote:
           | Isn't that different?
           | 
           | Weed is still federally illegal. Porn is not.
        
           | tflinton wrote:
           | I think this is more because its illegal on a federal level,
           | not because of brand or pressure.
        
         | makeitdouble wrote:
         | I am coming to the conclusion that we're in the current
         | situation by design.
         | 
         | A bunch of powerful people feel some stuff should be punished,
         | but they can't make it illegal. So they'll stay in good term
         | with de facto gate keepers and nudge them in their direction.
         | 
         | In the article it's some billionaire, but ruling parties are
         | probably doing the same extensively: instead of making the
         | controversial decisions themselves, go through all the
         | paperwork and get all the backlash, they'll have a private
         | entity deal with 95% of the problem (the industry "self-
         | regulating") and call it a day.
         | 
         | A pettier exemple than money transactions: there's no reason
         | smartphones shouldn't be able to record calls out of the box
         | (using it within legal boundaries should be on the user) but
         | phone makers will self-block that behavior with no specific
         | interest on their side.
        
           | ravel-bar-foo wrote:
           | > there's no reason smartphones shouldn't be able to record
           | calls out of the box (using it within legal boundaries should
           | be on the user) but phone makers will self-block that
           | behavior with no specific interest on their side.
           | 
           | Which smartphones block call recording? Every brandname
           | Android I have had enables this feature for voice calls.
           | (Although the feature is missing for app calls, and I'm now
           | at least 5 years behind the newest phones.)
        
             | GekkePrutser wrote:
             | > Which smartphones block call recording? Every brandname
             | Android I have had enables this feature for voice calls.
             | (Although the feature is missing for app calls, and I'm now
             | at least 5 years behind the newest phones.)
             | 
             | This explains a lot because this is a more recent
             | development. https://www.pcmag.com/news/google-is-banning-
             | call-recording-...
             | 
             | As the article says it was blocked a couple years ago but
             | there was still a loophole which is now being closed as
             | well. Though it's by blocking apps using it from the play
             | store which can still be avoided by sideloading so
             | technically there still is a loophole :) But it's
             | definitely seeing more and more restrictions.
        
         | goldcd wrote:
         | I slightly disagree - I don't think Visa et al should be forced
         | to do anything.
         | 
         | I think the problem is external to Visa, where a once
         | capitalist money accumulating machine, is having internal
         | debates on what Furry depictions are allowed.
         | 
         | I feel the unnoticed casualty of the "Culture Wars", that
         | neither side seems to care about, is that harmless stuff should
         | just be left alone.
         | 
         | We don't have to have a view on everything.
        
         | cwillu wrote:
         | Deciding who controls the definition of "legitimate" is exactly
         | the problem.
        
           | makeitdouble wrote:
           | In this specific case, banks already have definitions and
           | obligations regarding who they can refuse to deal with. I'd
           | argue credit cards should at least be as permissive as these.
        
           | markus92 wrote:
           | Lawful? That's up to the government to decide.
        
             | jcranmer wrote:
             | Which government? If you're talking about something like
             | paying for an abortion or marijuana, you're likely to get
             | very different answers if you ask the US federal government
             | versus certain state governments.
        
               | fipar wrote:
               | To expand your point, the impact can be international.
               | 
               | Weed is legal in Uruguay (restrictions apply, but you can
               | do some paperwork and you'll then be able to buy it) yet
               | the Central Bank suggested pharmacies to only sell it in
               | cash, out of fear that it would have negative
               | consequences for other CC transactions in the country, or
               | for the country as a whole I suppose.
               | 
               | I can understand CC companies not wanting to accept
               | payment for weed in another country if the card was
               | issued in the US, but for local cards, that's basically
               | enforcing one country's laws over another. And you could
               | have local CC companies, which we do, but then those are
               | only accepted here. So if someone local wants to have a
               | CC that can be used abroad, they need to accept the fact
               | that the CC company will enforce the laws of the US even
               | if they do a transaction outside of that country.
        
               | philistine wrote:
               | And yet here in Quebec, we pay for weed with credit cards
               | all the time. What's up with that dichotomy?
        
               | bryanrasmussen wrote:
               | so which side are you arguing here - credit card
               | companies can decide who they want to provide services
               | for even if they decide not to service legal companies or
               | that they should be forced to service legal companies?
        
               | PenguinCoder wrote:
               | Most specific law applies then. Not hard.
        
               | krrrh wrote:
               | Yeah, subsidiarity or lack thereof can get messy, but
               | it's not that unusual to get different answers from
               | different levels of government. It's a totally different
               | situation when a private duopoly or oligopoly supersedes
               | democratic control.
        
               | pilif wrote:
               | I see two answers to this:
               | 
               | 1) if something is legal wherever the purchase was made,
               | then the credit card companies, as basic utilities,
               | should be compelled to process the purchase.
               | 
               | which would be the easiest for me to understand, but
               | possibly more complicated to enforce than
               | 
               | 2) if something is legal wherever the credit card company
               | is incorporated in, then the credit card companies, as
               | basic utilities, should be compelled to process the
               | purchase.
               | 
               | If laws or enforcement are unclear about the legality of
               | a thing, handle it like it would be handled in case of a
               | cash sale or have the credit card company be cautious and
               | enforce the strictest rule.
        
               | giantg2 wrote:
               | You have to define legal. In the case of pot, it's not
               | actually legal - the feds simply choose not to enforce
               | the law in states that have legalized it at the state
               | level. There is substantial risk there as a payment
               | processor. If it were actually up to the states, then it
               | could be more like you describe.
        
         | sshine wrote:
         | > Think of prostitution what you will but over there it's legal
         | work and they pay their taxes.
         | 
         | Prostitution may be a line of work where less tax is paid.
         | 
         | This does not make the act of prostitution less legitimate.
         | 
         | Hair dressers and tattoo artists also, on average, declare less
         | of their total income, and we don't consider hair dressers and
         | tattoo artists illegitimate businesses. We just expect them to
         | pay taxes and tolerate, to some degree, if they don't. Going to
         | the hair dresser or getting a tattoo isn't seen as morally
         | objectional because of what they pay in taxes.
         | 
         | Less tax is paid because of cash.
         | 
         | This is also true for prostitution. In part because the
         | anonymity of cash is preferable among the customers, because
         | the sex worker avoids scrutiny by the bank, and because sex
         | workers don't necessarily have work permits in the countries in
         | which they operate.
         | 
         | Conversely, we can think of morally objectional jobs where
         | taxes are paid.
        
           | GekkePrutser wrote:
           | I agree tax and legitimacy are not the same thing. Tax
           | avoidance being common in an industry does not make the work
           | itself illegitimate.
           | 
           | The reason I mentioned tax is that not having a bank account
           | was making it more complex for them to actually pay their
           | taxes as a business. Taxation in the Netherlands is no longer
           | something you can pay with an envelope of cash. If you want
           | to run a legit business you can't do so without one. It was
           | one of the things mentioned during the debate about this.
           | 
           | I'm not sure how it turned out because I don't live there
           | anymore but there was talk of mandating the banks to offer
           | them an account. After all without overdrafts or loans there
           | is no real risk to the bank anyway.
        
         | handmodel wrote:
         | I wonder if the card companies themselves would be happy with
         | those rules. I don't think it's a grand conspiracy. I think
         | they are just looking at the business and realizing that the
         | amount of money to be made from it (especially with
         | chargebacks) is very small compared to the potential
         | lawsuits/headlines of facilitating child pornography and as a
         | result have been conservative.
         | 
         | If they were forced to allow it then it would give them cover
         | and also their competitors would be as well - so there'd be no
         | competitive disadvantage.
        
         | bilekas wrote:
         | Yes, payment processors should 'process' all legit payments.
         | However..
         | 
         | Visa/Mastercard hire people to do risk analysis though, those
         | people are rightly assessing that pr0n payments is a higher
         | risk than the insurance premium is worth. Which is newsworthy
         | itself, goes to how credit card fraud is overtaking the
         | insurance market and maybe those 2 companies should invest in
         | that area.. But that's gonna take too long.
         | 
         | There are a lot of reasons for that. On a 'credit' card this
         | makes sense. They own/lend the outgoing funds, you just pay
         | them back with some interest.
         | 
         | The debit cards are not, the debit card is your balance being
         | debited. Instantly. With 0 interest. I'm not 100% sure about
         | the insurance on that, but from experience the bank itself will
         | be the point of contact to dispute a payment that is
         | fraudulent. The bank may or may not pursue lost monies from the
         | insurance or debtor etc. But VISA as a whole, just processed
         | the transaction.
         | 
         | There used to be, in Ireland at least, a debit card issued by
         | banks under the name "Laser" so it was your 'laser' card you
         | paid with.. Only in recent years, I realised this was
         | competition. So V & MC cornered the market, "Use at X amount of
         | ATM's worldwide" etc.
         | 
         | I would love to say "there is a way out, once the payment
         | processors process without influence from V/MC" but imagine, a
         | payment processor not accepting one of those.. That's game
         | over.
         | 
         | I do think companies like N26/Revolut and co have standing to
         | create their own 'standard' after really generating an
         | incredible userbase, would prefer maybe open source but
         | financal companies are slow to adopt.
         | 
         | Imagine a payment gateway standard that wasn't restricted, open
         | source/readable and had it's own userbase. I'm not a proponent
         | of using crypto as currency but you can see why they got
         | carried away. The problems to overcome are just... Well,
         | bureaucratic.
        
       | kshahkshah wrote:
       | I feel like the only thing worst than Visa or Mastercard
       | regulating this would be the US government.
        
       | polote wrote:
       | They are not the porn regulator. The porn space is much more than
       | pornhub and actually most websites have learnt to live with
       | border legal financing options for a long time. The ceo had
       | probably always wanted to cut out pornhub and this was the
       | perfect moment to deliver his agenda.
       | 
       | Porn is everywhere and there is no way to prevent that.
        
       | scarface74 wrote:
       | There is something even more disturbing. I have a friend who
       | caters to the LGBTQ community. She does parties, party busses,
       | promotions with famous artists at clubs, etc. She once told me
       | that many of the credit card processors wouldn't do business with
       | her. This was a decade ago. I don't know if she still has the
       | same issue.
        
         | lelanthran wrote:
         | I don't find that _more disturbing_ than cutting off furries, I
         | find it _equally disturbing_.
        
       | car_analogy wrote:
       | Not remotely limited to porn - they are also arbiters on the
       | range of allowed political thought:
       | 
       | https://www.buzzfeed.com/markdistefano/mastercard-activists-...
       | 
       | https://www.frontpagemag.com/fpm/2020/05/biggest-blacklist-a...
        
         | adamrezich wrote:
         | not sure why this is being downvoted when it's a true statement
         | related to--but not touched upon in--the article. plus it's a
         | counterpoint to some of the other comments here saying that
         | this is all _solely_ due to these companies ' proverbial hands
         | being tied by federal regulations.
        
           | car_analogy wrote:
           | Because, they will argue, those bans are justified. And
           | because they are justified, we should pay no attention to
           | them. We should not even know they exist.
        
             | ClumsyPilot wrote:
             | these people would be happy to be tyranically opressed so
             | long as the opressor is registered as a private
             | corporation.
        
       | Linda703 wrote:
        
       | hn_throwaway_99 wrote:
       | It's not just that "Mastercard and visa are the de facto
       | regulators of porn". It's that one billionaire called up a
       | ~10s-100s millionaire and said "stop this because I read a NY
       | Times article that made me really angry", and the response was
       | "On it."
       | 
       | More rule-by-oligarchy, as usual.
        
         | bmelton wrote:
         | That may be true and I'm not arguing that it isn't, but at
         | least where I've come to learn about it more concretely
         | happening, it's always been the result of things like Operation
         | Choke Point[1] or Redlining[2] which were pressure campaigns by
         | the governments who regulate the banks. In the case of the
         | former, it was Elizabeth Warren and the CFPB, while the latter
         | was the FHA working through the FHLBB.
         | 
         | Banks are so inherently risk averse that even the most stalwart
         | of them is likely to submit to even regulatory-coercive
         | overtones, which effectively makes them arms of the government,
         | but with enough "by proxy" to leap around constitutional
         | hurdles.
         | 
         | [1] - Operation Choke Point:
         | https://en.wikipedia.org/wiki/Operation_Choke_Point
         | 
         | [2] - Redlining: https://en.wikipedia.org/wiki/Redlining
        
           | toyg wrote:
           | _> Banks are so inherently risk averse _
           | 
           | ... that 2008 never happened.
           | 
           | Banks are risk-averse when it suits them to be so.
        
             | bombcar wrote:
             | Risk for a bank is having the government crawl up their
             | various orifices, not losing money.
        
           | hn_throwaway_99 wrote:
           | Thanks for this, especially the link about Operation Choke
           | Point.
           | 
           | But I think the details around Operation Choke Point give me
           | confidence, not wariness. Yes, Operation Choke Point _was_
           | government overreach, but when the truth came out:
           | 
           | 1. US Congressional reps proposed laws to stop the practice.
           | 
           | 2. The FDIC Inspector General and the DoJ investigated the
           | operation.
           | 
           | 3. The FDIC issued a letter "effectively ending the practice"
           | in early 2015.
           | 
           | 4. The government officially ended the practice in 2017.
           | 
           | That is, IMO, government _worked_ here: overzealousness came
           | to light relatively quickly, was debated publicly, and was
           | terminated.
        
       | [deleted]
        
       | rodgerd wrote:
       | If you cared about "cancel culture" and platforms having too much
       | leverage, you'd be a lot more concerned about this duopoly than
       | whether Twitter lets Nazis speak.
        
         | yew wrote:
         | They're not the government. They've no obligation to platform
         | anyone at all, whatever sort of extremist they are. Get used to
         | it, examine why the world will be a better place, move on.
        
           | cowtools wrote:
           | I don't think that the town squares and forums of the
           | internet should be controlled and paid for by advertising
           | companies. Nazis are not banned on any moral or political
           | basis: It's purely a buisness decision. It sounds fine but
           | when you begin spouting some unprofitable ideas they're not
           | going to hesitate to ban you too.
        
           | tick_tock_tick wrote:
           | > They've no obligation to platform anyone at all
           | 
           | That's just objectively false we have a long history of
           | forcing companies to take customers from Utilities, Americans
           | with Disabilities Act, anti trust laws, forcing companies to
           | license technology, and a whole bunch of other ones when
           | needed; This is no different.
           | 
           | We are talking about it because we find the current state
           | with Visa and MasterCard as unacceptable.
        
         | odessacubbage wrote:
         | any internally consistent application of civil liberties means
         | caring about both.
        
       | atlasunshrugged wrote:
       | Can someone explain to me why there hasn't been a crypto payments
       | use case that solves this? Of all the fields that crypto should
       | be able to gain adoption in, one where people don't want their
       | standard accounts and credit reports to reflect they subscribed
       | to any porn, however bland, seems like the ideal (legal) use
       | case.
        
         | dogman144 wrote:
         | The volatility is the elephant in the room. In my opinion, vol
         | slowly smooths out as adoption increases, happens with most
         | currencies. But this slowly might be a long time.
         | 
         | You are one of the few comments ITT that bring this up though.
         | On one hand, it shows how the tech's real purpose hasn't really
         | permeated the general or tech public yet. On the other, it is
         | literally the only digitally native payment solution that
         | offers cash-but-online and solves the specific risk of payment
         | censorship . There might be other innovations down the road
         | though, but for now caring about these events means caring
         | about cryptocurrency, if you care about solving the problem
         | with today's tech vs what's still to come.
        
           | atlasunshrugged wrote:
           | But if transactions settle immediately with crypto shouldn't
           | you be able to just convert to fiat or a stablecoin to avoid
           | the volatility? Or do you mean volatility for a consumer that
           | holds the currencies beforehand? It's just surprising it
           | hasn't been adopted somewhere yet as this isn't a new problem
           | facing the industry and I wonder if there are bigger barriers
           | I'm not seeing. I think Coinbase had a payments function
           | similar to a Stripe integration but maybe they also don't
           | allow such use cases? https://commerce.coinbase.com/ - I'll
           | dig into their TOS out of morbid curiousity
           | 
           | Edit w/update: It is indeed not allowed in their TOS, "Adult
           | Content and Services: Pornography (including literature,
           | imagery and other media); sites offering any sexually-related
           | services such as prostitution, escorts, pay-per view, or
           | adult live chat features." is under the 'Prohibited' section
        
             | dogman144 wrote:
             | Without an easy way to interact economically with the
             | currency beyond one time use cases, it's more like a gift
             | card that is very volatile with heavy compliance
             | requirements.
             | 
             | I could spend all my money via gift cards, but the process
             | of buying gift cards constantly is annoying. Using crypto
             | for one time uses is like this, but with the added
             | requirement of compliance teams evaluating what you've used
             | the giftcard for (the crypto to fiat swapping process).
             | 
             | However, where there exists consistent market worth staying
             | in crypto, you do see adoption. Unfortunately, this is
             | darknet markets so not great for marketing further
             | adoption. But good proof of concept.
        
         | kkielhofner wrote:
         | The number of people interested in paying for content not
         | permitted by Visa/MC and who can actually figure out how to use
         | crypto for anything other than trading on an exchange is tiny.
         | 
         | Not surprisingly the only resources online about porn payments
         | and cryptocurrency are a variety of high profile CSAM stories.
         | 
         | Yet another of one of the many problems with crypto adoption -
         | it's so frequently used/cited/associated with illicit activity
         | that (again other than gambling on an exchange) many (most?)
         | law abiding people associate it with criminals outside of the
         | Disneyworld playpen that is Coinbase.
        
         | louloulou wrote:
         | > Can someone explain to me why there hasn't been a crypto
         | payments use case that solves this?
         | 
         | There has - most porn sites accept payment in bitcoin.
         | 
         | https://lifehacker.com/how-to-pay-for-porn-with-crypto-and-w...
        
       | oneng wrote:
       | This argument reminds me of Taleb's note on Minority rule:
       | https://medium.com/incerto/the-most-intolerant-wins-the-dict...
       | 
       | "The Most Intolerant Wins: The Dictatorship of the Small
       | Minority"
       | 
       | "The black-and-white character of these societal laws can be
       | explained with the following. Assume that under a certain regime,
       | when you mix white and dark blue in various combinations, you
       | don't get variations of light blue, but dark blue. Such a regime
       | is vastly more likely to produce dark blue than another rule that
       | allows more shades of blue."
       | 
       | One of the bigger bangers from the chapter:
       | 
       | "Yes, an intolerant minority can control and destroy democracy.
       | Actually, as we saw, it will eventually destroy our world."
        
         | sydthrowaway wrote:
        
       | dogman144 wrote:
       | A digital payment rails that functions like cash, as in my bank
       | can't prevent me from handing it over to whoever I want for
       | whatever legal reason is a critical aspect of a free society that
       | has gone digital.
       | 
       | You might disagree with bitcoin and co being the answer for this,
       | but it's the only tech that's posed a viable solution as of now.
       | Viable is not perfect. But if this article bothers you, at least
       | understand this a (the) major aspect of why people work on
       | serious cryptocurrency projects.
        
       | gigatexal wrote:
       | Seems like Bitcoin or other crypto would have filled this usecase
        
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