Separating privacy and security in online decision-making process: The case of Venmo

Abstract

The rise of peer-to-peer online financial services that attract users with social media features warrants a sharper distinction between security and privacy. While past research on online financial services focuses on the security of the transactions, the literature on online social media emphasizes the risks for the individual's privacy. Unfortunately, the two concepts are often considered as overlapping or, in some cases, as two dimensions of the same concept, thus making complex the study of the distinct roles of security and privacy in the decision-making process. We analyze the activity of 13, 338 accounts on Venmo to explore the different roles of the two concepts in the decision to disclose financial transactions on online platforms. The results show that security concerns cause the users to opt-out of any public feeds, while users address their privacy concerns by limiting the amount of information disclosed. The findings and their impact are discussed.