The problem is that the entire Bitcoin model has the same weakness. There's no rule for rolling back a bitcoin transaction because there couldn't be such a single authority because bitcoin is merely a "decentralized" algorithm.
This illustrate one of the inherent problems of Bitcoin. Any currency system today must be based not on simple transfers but on valid transactions. Valid transactions require that there exists an authority to validate those transactions.
There is no rule for rolling back transaction in real world too: once other party is gone with whatever was traded you have almost no way of "rolling back" this transaction.
Real world brokers though have settlement period for releasing funds for exactly this reason - so the transaction could be rolled back if necessary.
There is no rule for rolling back transaction in real world too
If you're real world is drug sales in a shady corner somewhere, that might be true.
Elsewhere, we have this thing called the "legal system" which actually exists primarily to enforce something called a "contract", which is essentially a transaction.
And why would this "legal system" not apply to BTC transactions? It is the same as paying someone in cash. The kind of currency used for payments has nothing to do with whether to punish fraudsters and cheats or not.
You have a point ... except that if government was engaged in enforcing a roll-back on a bitcoin transactions, it would make the ordinary "enforcement" system which bitcoin uses rather obsolete.
... and getting everyone to agree to the rollback might be difficult.
... and considering you would be using the state's court system, the state feel like refusing to use their money wasn't very generous. IE, if the Feds could sink bitcoin transactions just by saying they wouldn't engage in any Fraud protection on them.
The problem is that the entire Bitcoin model has the same weakness. There's no rule for rolling back a bitcoin transaction because there couldn't be such a single authority because bitcoin is merely a "decentralized" algorithm.
This illustrate one of the inherent problems of Bitcoin. Any currency system today must be based not on simple transfers but on valid transactions. Valid transactions require that there exists an authority to validate those transactions.