Comment by mlenhard
14 hours ago
From talking with some of the companies experiencing this, I can confirm that a portion of it is actual credit card fraud. Tokens have become a pseudo-currency, making them a prime target for abuse.
Some of the abuse is more benign, but there is also real fraud through chargebacks, account takeovers, and stolen credit cards.
When you say a portion is that more like 1%, 5%, 20%, 50%, or 90%?
I don't have exact numbers here, and it varies by company, but a rough guess is around 10-20%. This might be a bit biased because the companies willing to talk to me are probably seeing the worst of it.
Also, outside the labs, most of the companies I've talked with have shut off free tiers and free credits entirely because the abuse is so bad.