Unreliable Merchant Warning

The Unreliable Warning is the ultimate tool to enforce arbitration awards.  In most cases, there is no need to enforce arbitration awards because the gold is already available in Safetransit™ or as a Dispute Reserve.  However, there are cases where a dispute may occur outside of Safetransit and there is no gold in the Dispute Reserve.  If the seller refuses to refund his customer according to the amount awarded by the arbitration specialist, then the seller's Karma reputation is downgraded to Unreliable.

 

When a reputation is downgraded to Unreliable, an email warning is sent to the other party each time the unreliable member initiates a transaction. The email warning is sent when the unreliable member wishes to purchase gold from an independent exchanger, sell gold, or exchange gold with another member for a product or a service.  The other party receiving the warning email must confirm the transaction by acknowledging he agrees doing business with someone known as "Unreliable".

 

Such email warning is likely to put pressure for the recalcitrant member to comply with the arbitration and give a refund to his customer.  The warning message is sent for a period of 6 months, and during that period many customers may become hesitant or simply refuse doing business with someone known as unreliable.  Others may ask for a discount to offset the risk of default.  Moreover, such warning email describing the member as unreliable will damage the goodwill reputation of the offender.  On the Internet, reputation is vital for running a successful online business.

  • Each member has a public nickname or alias followed by his a Karma value.  When a member becomes unreliable, the Karma value which is usually a number around 1000 is replaced with the word "Unreliable Member" in bold.  This will draw the attention, because every transaction and feedback comment displays the nickname and the Karma value.
  • When a member is downgraded as unreliable, his transactions fees automatically become 5% for each transaction.  Any member with 20 transactions can enjoy the low transfer fee of 1%.  Therefore the Unreliable member will see his transfer fees increase a fivefold, from 1% to 5%.  If the transaction volume is significant, it may be cheaper to consider a refund to the customer than paying 4% for every transaction for 6 months.
  • Our Public Directory always displays the member nickname and Karma value.  If the unreliable member still wishes to be displayed on our public directory, he will have to live with the consequences of having a the word "Unreliable Member" in bold next to his nickname / business name.  This is usually not the best way to attract new customers.
  • A member whose reputation has been downgraded to Unreliable is no longer allowed to use any arbitration services provided by iGolder a period of 6 months.  Therefore the unreliable member cannot initiate disputes, nor effectively use the Safetransit tool, thus making him on his own if a problem occurs. 

 

 

Since August 1st, 2013 iGolder is no longer accepting new accounts and balances can only be redeemed. During the past years, we have been recommending Bitcoin more than our own payment system. We believe in physical gold ownership, and developed iGolder as a mechanism for people to acquire physical gold by trading with one another.

Since iGolder has a central point of failure (our server may be raided by thugs wearing some kind of uniform), we feet it is safer for us to cease operations. The iGolder experiment has been personally rewarding as we met many gold enthusiasts and also learned about Bitcoin in the process. For those who have no idea what Bitcoin is, we recommend doing your own research. Bitcoin is far superior to iGolder in every way, both in privacy and security as our server is always vulnerable to confiscation. Bitcoin is a communication protocol with a built-in "escrow service" capable of protecting both the buyer and the seller, rendering our Safetransit completely redundant. To learn more about the Bitcoin protocol and its feature, please watch "http://www.youtube.com/watch?v=mD4L7xDNCmA (Bitcoin 2012 London: Mike Hearn).

For those having gold in their iGolder account, we will ship the physical metal to anyone having more than 1 ounce of gold, assuming the owner is willing to assume the shipping costs. For smaller quantities, we offer to settle in Bitcoin, however we will also settle with any other reasonable payment system. We will give everyone at least two full years (until 2016) to contact us to claim their gold. After that period, any unclaimed gold will go to fund an economic development project in Honduras helping local people to become entrepreneurs.

We sincerely wish you the best in life and hope to keep in contact with you.

Yours in liberty,
The iGolder Team.


Update 2014: Since we announced we no longer accept gold transfers, we have received countless emails asking to keep the free gold charts and the PGP encryption tools. We plan to keep running the domain iGolder.com for both the gold charts and the encryption tools. Better, we are developing state of the art open-source software for a secure decentralized social network with a built-in wallet. We will announce when we have a product ready for use. Stay tuned!