That is exactly how it works. A credit card isn't a debit card. I have had my card number stolen. I saw weird charges on my card, called my credit card company and they reversed those charges immediately. No arguing was necessary because credit card companies work for you. Again this is a credit card, not a bank debit card.

That is something that could be done with crypto as well.

It can't be done with crypto because you are transferring direct. You would need someone in between in which case you have reinvented banking.

Your edit isn't fraud, it's scamming lol

I'm getting the impression you aren't in the US or British and don't speak English natively. This could be why we are having problems communicating.

https://www.merriam-webster.com/dictionary/fraud

[–] Jakeroxs@sh.itjust.works 1 points 13 hours ago* (last edited 13 hours ago)

Ok do you understand how that actually works for the bank? I'm not questioning the end user impact lmao, I'm telling you what happens to the bank itself, please explain to me how if someone uses your stolen card to get cash before the fraud is noticed the bank magically gets that cash bank from the one who stole it.

The answer is, they don't, they have insurance and such and make you whole that way.

It can't be done with crypto because you are transferring direct. You would need someone in between in which case you have reinvented banking.

You don't actually, there could be a fund paid for via taxes or similar to aide people who've been scammed/defrauded while the criminal activity is investigated and punished by authorities, just like right now with traditional currencies.

I'm getting the impression you aren't in the US or British and don't speak English natively.

I'm from Texas, I am a licensed financial professional lmao. There is literally a difference in practice between a scam and fraud.

Fraud is an umbrella term, scams fall inside it. So I'm being pedantic and pointing out the differences in behavior between a generic fraud (such as your identity stolen or using your card pretending to be you in other examples) and scamming (things like ICO rugpulls, midnight infomercial jewelry, I'd argue "mystics" and megachurches)

Edit: To your point tho, it does still fall into the fraud category, but it helps to be more clear about what specific bad behaviors are being done to properly identify potential solutions IMO.