Though whether that's a convenient excuse for prudishness or not, we'll never know (because you can't collect data on chargebacks if you don't allow any sex sites to make charges in the first place).
Banks are notoriously risk-averse. This is a disruption waiting to happen for the first person who can crack handling sex-worker credit card payments despite the banks.
True, but I think there's obvious legs to it. Some common reasons for fraud are:
* Laundering money (buy accounts with stolen cards, sell them using crypto to people who don't want to be associated with the accounts).
* People falsely claiming fraud to cover up the payments (ex. a spouse finding out about them).
* More specific to OF, people paying for private/custom content and then filing a chargeback.
I think people being prudish is kind of what allows this market to be ripe with fraud. I'm not sure there's a way to "disrupt" this industry using credit cards just due to the inherent tendency for fraud in the market.
Yeah, I get that. I think things are changing. Younger people are more willing to be open about their use of porn, and more accepting of things like OF.
I don't think there's anything intrinsic about the sex industry that makes it more fraudulent. I think it's much more about the prudishness and societal attitudes that makes it so. Also the long association with organised crime, obviously.
I wonder how this works in countries (like the Scandinavians) where the sex industry is more accepted and there's less prudishness? Are the banks still excluding them there?
I think there's a huge difference between the investment arms of banks, who deal with risk a lot, and the retail arms of banks, who avoid it whenever possible.
Banks are notoriously risk-averse. This is a disruption waiting to happen for the first person who can crack handling sex-worker credit card payments despite the banks.