Business on the Internet is almost entirely dependent on acting as A trusted third party to process electronic payments. Although the system works well,
In most transactions, it still suffers from the inherent weaknesses of trust-based models. Completely irreversible transactions are practically impossible because financial institutions cannot Avoid mediation disputes.
Mediation fees increase transaction costs and limit The smallest actual transaction size, and reduces the possibility of small temporary transactions, And lost irreversible service irreversible loss of ability to pay. With the possibility of reversal, the need for trust will spread. Merchant must Be wary of their customers and let them seek more information than they originally needed. A certain percentage of fraud is inevitable. These fees and the uncertainty of payment It can be avoided in person by using physical currency, but there is no payment mechanism Through communication channels without trusted parties.