This may work for smaller shops, but it's easy to catch larger companies doing this. Public ledger and this transaction involves knowing the buyers address.
Plus if a large enough website allowed you to pay with Bitcoin they could easily get shut down.
The start-up cost for a store are way higher then hosting a hard drive full of copy-righted files, so they couldn't be as elusive.
Blockchain isn't necessary for that. All you need are some shitty PHP pages behind a Tor hidden service and an escrow agent to facilitate transactions. The currency doesn't matter and it certainly doesn't have to be Bitcoin-- prepaid Visa cards work just as well, and are more anonymous than Bitcoin anyway.
I haven't come across any, but I'm not surprised since it makes them rife for abuse. There are providers that accept payment in bitcoin however, mostly seedbox providers. RapidSeedbox comes to mind.
I was referring more to the operators of the site. LE probably isn't going to go after individual buyers all that often. But the site will have a record of Bitcoin payments made, so you can link up sellers and buyers. And most people probably don't have untraceable Bitcoin. (I tried to buy $300 of BTC anonymously, and it took hours of work, and still reveals which post office I used.)
Decentralised marketplace, maybe? Open-source, trustless. So people can't scam you. Not saying that blockchain is a good way to do this: For instance, privacy would be a major red-flag, as well as the question of who's going to do the mining.
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Just found this: https://openbazaar.org/ Doesn't appear to use its own blockchain. Does use cryptocurrency though, for largely privacy and anti-censorship reasons. Uses multisig capabilities in Bitcoin to enable escrow/chargeback.
As to why you wouldn't do the same thing for bananas: Weed is illegal, so any business selling weed is in danger of being shut down. Something decentralised is more immune to getting shutdown. Compare Napster (centralised) to BitTorrent (decentralised).
I like the idea, kind of a PayPal for Bitcoin. My issues would be the usual: I don't trust a new service with my bitcoins, don't know anything about their policy for data loss, etc. The about page and support pages don't really instill any confidence. If I knew I could trust them it would seem like a great service.
You’d just need an extended public key that gives unique addresses to buyers and a price API to provide rate conversions. Your private key can be offline or on a hard wallet. Also see btcpayserver for an open source bitpay clone that does what you are thinking and more
The problem with the Bitcoin approach is not so much the money, but the time and knowledge needed to set up a wallet, buy BTCs and then perform the payment. And as long as it costs money it would still hopefully stop trolls.
The only provider I know is Fortumo[1], but I'm sure there are others. It seems pretty easy to integrate with a website[2] and as far as I know there is no way for the client to issue a chargeback.
I believe the Silk Road(s) have used such systems.
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