I don't know if this comment is a genuine question or one of those questions noting that any system could be defeated. I think it's genuine, but it still makes it hard to respond to. Anything I can say, you can rebut because it's not a 100% deterrent. We don't have rules because they work 100% of the time, but we also don't want to live in The Purge where there are no rules. Often the rules we've put in place make it more difficult to break the law and deter the vast majority from doing so.

It doesn't stop someone from doing that and there will always be ways around things, but it's not that easy. Virtual addresses should require a notarized Form 1583. Maybe some don't do what is legally required, but things have become harder. Yes, you can get virtual phone numbers and burner phones, but there's a reason why a lot of sites want SMS verification: most people won't go through the cost and effort of getting a burner (and sites can differentiate between VoIP/Google Voice and real phones). Yes, you can get an LLC and EIN, but that again costs money and spreads knowledge about your identity a bit more. Yes, maybe you can fake some stuff, but then how are you getting the money? Are you getting a check for "DefinitelyNotAScam, LLC", but you're not a member of that LLC so you can't cash the check? Yes, maybe some places will still cash the check, but we're now talking about lots of payments that are eating into your margins: LLC fees, registered agent fees, burner phone numbers, virtual addresses, shady check-cashing places taking a cut, etc. And if you need to get a new LLC/phone/address for each scam, you're really increasing the cost and effort. It also increases the surface area for mistakes. If you're looking to insulate yourself, the more places you need to register and do stuff, the more chances for mistakes, especially as people are starting out. More surface area makes it harder to hide - certainly not impossible, but harder.

Know Your Customer rules in banking haven't eliminated money laundering and other nefarious activities, but I'd guess that they've made them a lot harder.

Yea, it doesn't stop everything, but it does really change the money and effort required. Maybe you don't think it's that much money or effort, but it might be enough to deter a lot of stuff. How does the lock on my house deter theft? I've seen the LockPickingLawyer make short work of basically every lock. Why even bother with a lock when the lock can be so easily picked? Yes, I know that the locks on my home won't stop determined, skilled thieves. However, they do work well enough for their intended purpose. Will these measures work well enough for their intended purpose? I don't know, but it does seem reasonable to think that they could raise the cost and effort enough that it'll deter a lot of bad actors and leave platforms with more resources to handle what's remaining.

It's just hard to respond because you can easily say, "well, I know a place that will give out virtual addresses without a Form 1583 and I know how I could..." Yep, there are ways around things. I think this is more a debate about how much bad activity it will deter. That's kinda the situation with almost everything in life. How much will masks prevent COVID spread? How much will a lock keep my stuff from being stolen? How much will a semi-anonymous username-based system like HN prevent really bad stuff that some anonymous forms see? How much does email or SMS verification deter bad acting on platforms?

It's just hard to figure out what you're looking for in a response. Yes, it won't stop someone truly determined to get around it, but maybe it should give you the same amount of comfort that the lock on your house does - and most people don't leave their place unlocked.