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Not sure about the situation elsewhere but here in Germany credit card usages usually requires a PIN or a signature. And the credit card company will pay for abuse if you are not responsible.

With transaction costs currently between 10 and 20 dollars per transaction and with a record of close to 100 dollars it does not really look like a good way to implement micro transactions.

Where are you getting the transaction costs of between 10 and 20 dollars? For bitcoin? If so I think you need to take another look at your numbers.[1]

[1] http://i.imgur.com/DgQk0og.png

Not fees, transaction costs. See one of my other comments, I don't want to type it out once again.

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