thorsman6565: After purchasing a game from this site, I to experienced fraud. While in the US my card was apparently happily buying expensive hotel rooms in Italy.
The billing goes through an account in Cyprus overseas, and my Credit Card company says a lot of fraud seems to transpire there.
We do not store credit card information for security reasons, and all vital information is sent through a secure connection, so it's impossible for anyone to hijack from us anything that could be used to make a fraudulent payment.
As for Cyprus, the only consequence of being a Cyprus-based company is some banks' standing towards this country. Past actions of "enterprising individuals", which originated in Cyprus, do not reflect upon our own security. They only impact statistics, which is why some banks are wary of transactions made through it. To my knowledge we do not process payments in Cyprus, but banks do check where a business is registered when a payment attempt is made.
As lukaszthegreat suggested, the typical causes of credit card info theft is low computer security (keyloggers and other spyware), deception (phishing websites, scammers), and physical credit card theft. Hijacking such info from encrypted databases or from real-time secure connections is extremely improbable. And then there are sites like GOG.com that don't store vital information, just in case.