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1) Your assertion that 'the data would be encrypted' is false.

There's no reason to believe that Visa/MC would simply use 'America' as a based to host dumb, encrypted data which enters and leaves the the US fully opaque. That would be pointless. Visa/MS are using services hosted in the US which will process customer data.

2) Statement #2 is also false. There is no arbitrary way for the US to snoop on data that doesn't flow through the US. For a whole variety of reasons - legal, operational, technical, political, cost etc.. Surely it can be done in a limited way, but at a level nowhere near the domestic capability.

3) Finally, you're statement on "geographizing" is also false.

Data, encrypted or not - falls under legal jurisdiction of the 'nation / geography' it's in, and this has many significant consequences. It makes a corporation subject to local laws, regulations, liabilities etc..

The internet is very geographic in nature.



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