Comment by AnthonyMouse
2 hours ago
At which point people with legitimate copper to sell start going somewhere else because the repeat players resent having 30 days worth of interest stolen from them every month and the one-time sellers don't trust an IOU from a company they've never done business with before.
Meanwhile you just create a new line of business for fences who are willing to pay cash today in exchange for a margin and then take the IOU from the legitimate scrapper and turn a profit in 30 days. Or the drug dealers take the copper as payment and then don't care about the 30 days if it means they can sell more drugs.
You can't make a commodity not worth money. At some point you have to actually catch the thieves.
> At which point people with legitimate copper to sell start going somewhere else
Make it required by law, and they won't be able to go somewhere else. Legitimate businesses with scrap to sell aren't going to risk committing a felony to get paid below market value 30 days sooner (Not to mention that many businesses are used to getting paid on a delay, and selling scrap for pennies is a tiny portion of their revenue flow).
Catalytic converter thefts have been decimated by similar policies. As it turns out, there are plenty of hoops that you can introduce that aren't a serious impediment to b2b transactions (which make up the overwhelming, massive majority of legitimate trade in this space), but are a serious impediment to tweakers selling stolen property.
> Or the drug dealers take the copper as payment and then don't care about the 30 days if it means they can sell more drugs
Street dealers are trying to run a drug business, not a goddamn copper clearinghouse. If they wanted to run one, they wouldn't be out on the street slinging meth.
The engine block in an old car blew up so I ripped it completely apart and sold the parts online and in person to various people. I tried to sell my own catalytic converter to a shop I found online that was some kind of on-the-up-and-up licensed buyer.
What I didn’t know is they wouldn’t buy it from me if I wasn’t a licensed seller. I was irritated but realized it probably was for the best. And it worked, I still have it sitting in my shed.
I don’t know how to make that reality happen with copper, which is clearly much more abundant than cat converters are, but I imagine you could at least do something like what happens when you buy a pseudoephedrine product, they scan your ID and track the frequency of your purchases. Too much too quick and you’re on a short list.
I don’t see a feasiae way to invert that, selling copper requires an ID and infrastructure for maintaining a database of sellers, amount, and frequency, but I imagine if you started at the top and worked your way down it could become a regulated commodity to sell… somehow.