I find this fascinating, actually. On one hand we must disincentivize fraud. On the other hand enforcement of laws really should have observable utility and not feel arbitrary. I’m much more on the “fix the model” side of the spectrum on this one. That doesn’t mean I think we should allow what SMITH did.

I feel uncomfortable when we start handing out prison for things that are isomorphic in utility to things that seem clearly legal.

Which of these are fraud:

a) I block or skip ads in media I consume

b) 1000 people block or skip ads in media they consume

c) I convince 1000 humans to play my songs every day and all of them listen to the ads

d) I convince 1000 of humans to play my songs every day and all of them skip the ads

e) I program 1000 bots to play my songs every day

(b) (d) and (e) all have the same outcome for ad agencies, nobody hears the ads. If (e) is the only one that’s problematic, then we aren’t solving the problem by prosecuting (e).

Similar vein to Matt Levine’s “everything is securities fraud” takes.

IANAL, but...

>a) I block or skip ads in media I consume

>b) 1000 people block or skip ads in media they consume

Not doing something is generally considered okay, even if it decreases someone else's revenue. eg. saying that a given product is a scam and not worth the money (assuming it's true). Same with skipping ads (eg. TiVo)

>c) I convince 1000 humans to play my songs every day and all of them listen to the ads

>d) I convince 1000 of humans to play my songs every day and all of them skip the ads

Legal, because the whole point of advertising is to convince people to do something, even if it costs someone else money (eg. drugs, which might cost your insurance provider money). Where you might get into trouble is if the actions turn out to be fraud, eg. telling people to stream music, even though no one's listening to it, for the sole purpose of getting streaming minutes, or setting up a kickback scheme (might be tortious interference). Again, going back to the drug example, it's pretty intuitive. Advertising a drug? That's fine. Telling people to buy your drug, just so they can chuck it into the trash, for the sole purpose of enriching yourself? Probably illegal.

The nuance is financial extraction coupled with deceit.

If your scheme doesn't extract value, nor costs anything to other parties, there is no victims, you can get away with it. Even if policies say no. The risk is termination of service.

Skipping ads is a loss of opportunity for advertisers. But they don't get extracted money. They may not like it, but they can continue to fish elsewhere and aren't being siphoned because you skip their ads.

If you spawn websites and farm fake viewers to scam ad networks, you are engaged in criminal activity. Not because you fake viewing ads. But because you extracted a profit of this activity which was extracted from another party (via deceits).

Isn't the nuance mostly or only the fraudulently obtained debit cards?

I suspect the case hinged on that, and everything else was legal, albeit part of the fraud, and was included as a complete description of the scheme.

To be fair, I'm guessing he couldn't have created the scale of fake accounts without debit card fraud, but creating multiple accounts, even if they're fake, is usually just a TOS violation, or maybe a civil matter, not criminal.

the difference is that (d) is not fraud and (e) is fraud, lol. Duh.

you seem to be thinking of the legal system like some kind of programming language / logic paradigm and it is not that and never has been

most likely ad-blocking would also be considered some sort of fraud (or rather: companies would block using their services if the ads were not seen, and then circumventing that would be regarded as fraud) except that it is not politically/socially tenable to do that at all.

Easy, (e) is fraud. The rest are legal. You can choose to not do something, advertising is analogous to convincing and advertising is legal.

Collecting money from a platform by making bots play songs you created is fraud.

Making bots listen to a song without any financial incentive is not fraud.

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>a) I block or skip ads in media I consume

Skip is fine. Blocking with third party tools is a breach of contract as a consumer, but not fraud nor a crime.

>b) 1000 people block or skip ads in media they consume.

If they individually decide to do this, then it's 1000 times fine or 1000 instances of breach of contract. If they get together and do this collectively, or are instructed to do so by one person, it starts to encroach on civil conspiracy.

>c) I convince 1000 humans to play my songs every day and all of them listen to the ads

If you convince them to play the songs on the basis of the music, that's the very object of the contract.

If you convince them to do so on the basis of the ads, presumably you incentivize them with money if they listen to the song, then it's fraud. It's arguable of course, but if you are paying the listeners, then it obviously makes the value of the ads 0, you are knowingly selling something that has 0 value and charging a comission for that sale.

>d) I convince 1000 humans to play my songs every day and all of them to skip the ads

d) This is weird because your revenue would be 0 in this case. But arguably you would be benefitting from the service of music distribution without paying for it with the cost of serving ads along your music. It's a completely different situation than the one in the OP, it's more like piracy, less like fraud.

Again if by skip you mean a service provider interface, then that's fine, I'm assuming you mean block with ublock or some third party reverse engineered thing that's forbidden by ToS.

>e) I program 1000 bots to play my songs every day

e) Of course this is fraud, I think it's obvious to you and you are just positing this as part of the obvious end of the slippery slope, so it's not worth explaining why. But just as a teaser, it involves agreeing and breaching 1000 contracts and creating 1000 fake identities, so identity fraud at least!

>(b) (d) and (e) all have the same outcome for ad agencies, nobody hears the ads. If (e) is the only one that’s problematic, then we aren’t solving the problem by prosecuting (e).

Regardless of the specific case, in general there's many cases where regulation attacks only some scenarios which cause a damage, and that's fine. For example drunk driving, driving too fast, and blinking at the wrong moment all might have the same consequence, but we only regulate the first and the second.

>Similar vein to Matt Levine’s “everything is securities fraud” takes.

Haven't read that, but this is strictly not securities fraud, just fraud.