Topic: Bank of Crypto? - page 5. (Read 2190 times)

Agree. It would only serve its purpose for newcomers into crypto, as they're not used to properly securing their funds against hacks or theft. For experienced crypto users, this is highly unnecessary. After all, crypto allows people to be their own bank. I'm sure that if a "Bank of Crypto" becomes a reality in the future, many people will solicit its services in mass. But I believe that the new crypto-centric financial institution would have to face a lot of regulatory hurdles in order to provide its services worldwide.

Despite this, there's a lot of applications within the world of "De-Fi" (Decentralized Finance) which work just like an ordinary bank. For example, we got "Compound.Finance" and "MakerDAO" which allow users to either lend or earn interest from their funds. But of course, these dApps are not suitable for non tech-savvy people. Which is why, sometimes a centralized solution (like the aforementioned "Bank of Crypto") is best in order to bring ease-of-use for people in the mainstream world.

Nonetheless, time will tell us what will be the outcome of a Bank which accepts crypto for deposits/withdrawals. As Blockchain technology becomes adopted by governments more thoroughly, new business ventures could emerge in the not-so-distant future. No matter if a "Bank of Crypto" is launched or not, at least Bitcoin has fulfilled its purpose of transforming our economy for the better. Just my opinion

This could be interesting only when government is coming up with such plans. If private players come into such message, people wont believe them. For this, regulations should also be full force. This will keep scammers away from this field totally.

I believe there are already several projects that are aiming to launch their own bank of crypto with credit card, loans and much other features of centralised banks. As soon as BTC will cost around 100k, we will see a bunch of crypto banks.

Meaning of banks is
https://www.investopedia.com/terms/b/bank.asp

With that meaning, Crypto banks will make crypto a centralization, if the bank give access to PK then the wallet (have access to the PK) is enough to store our crypto assets.

It would be wiser if we as owners of the cryptos are responsible for what we have, compared to leaving it to the Bank to save it because it will be the same as giving other parties access to our assets.

Hardware wallets is quite enough for securing crypto assets.
after all the "anonymous" wallet is more secure than we have to register our identity to the banks. Maybe our identity will leak out and many bad guys will targeting us and it might be more dangerous.

I don't know, but we don't need a third party for P2P transactions, we usually do transactions through third parties, that's the benefit of traditional banks. In this case we can also secure our own wallet, as you said we don't need a bank just to secure the wallet. Maybe if there is a system of deposits and bank loans can be created, but loans and deposits in crypto must be accompanied by information and letters.

an idea or a breakthrough from a system improvement must still be a mistake and with deficiencies in a system there will definitely be an improvement and in my opinion the existence of a bank is a breakthrough that is needed later but for now it cannot yet occur and is still contrary to the bank system and crypto currency economy system

Crypto bank for the reason of unable to protect is not making any sense. If you decide that you will start making use of cryptocurrency then you should be ready to handle it yourself and take the risks, oh and by the way, who even said that people can't protect their coins? There are hardware wallets like Trezor and Nano and you can as well save up your 12 word phrase and store it in several places to make sure it's safe. You can write it down on paper and keep it, and also save it other places where it is safe.

Even wallets like Coinbase are already safe and they offer services like banks; they have a Coinbase VISA debit card which you can use to spend your bitcoin anywhere whether online or ATMs worldwide. Their wallet is secured and they have a cold storage. There are platforms that lets you use your crypto assets to take loan online such as Nexo. So, I don't see the need to be talking about any other thing.

A crypto bank will attract more number of new people to adopt cryptocurrencies, I agree. But, I doubt that governments from all over the globe will come forward for the reason of familiarizing cryptos; I mean some governments are already against cryptos whereas most governments are yet to unveil their stand against cryptos. Only in a crypto friendly government, we can expect a regulated crypto bank to function like you mentioned; it may take decade of time, I am afraid.

Moreover, there could be a chances for regulated crypto banks for the purpose of earning interests for your capital. Again you need legal status for cryptos .

I am also not in favor of crypto banks. Crypto banks sound cool but the problem is that this strategy can reveal some information about holders. Nobody wants to show his crypto currencies and holdings to others. One of the reasons why bitcoin and altcoins get attention of investors is anonymity. Due to this, people are able to keep bankers and government away from what totally and solely belongs to them.

That's right, and CoinBase is the best for this field. Moreover, CoinBase has been around a long time, if I'm not mistaken since 2012. With strong products and collaboration, CoinBase has quite a lot of users. Moreover, it is very real use for real life, one of which is in collaboration with several companies adding bitcoin payment processing services to traditional payment companies.

If it is a physical bank for cryptocurrency as a whole, it SHOULD covers all of cryptocurrecny. What I mean in here is they should have all ERC-20 tokens and bitcoin. I just don't know if those coins that are private should be included or those coins that aren't listed in exchange should be since many people are hodling those. And where should this bank starts?

bank of crypto turned out to be already there and many have given answers related to it in one page ,I think too many banking companies that undermine customers and secure will only be my own responsibility in a personal wallet not giving full responsibility to others actually attracts attention but I prefer to be in the anonymous category for crypto and manage all assets is more profitable for me

If there will be financial institution for cryptocurrency, then it would be regulated and not decentralized. It will not be the cryptocurrency that we know. Though it can reduce the scams in the market since it is regulated, it is also more prone to abuse of power over its customers. Personally, I believe that it will not be good idea but if there will be a way in which crypto is still decentralized but somewhat regulated and can be still anonymous, it will be perfect.

Having a trusted third-party to store your crypto is beneficial to newbies and for some who are lazy enough to study on how to secure their tokens. i am not against it but if you are here on this space long enough then you should know by now how important it is to have full control on the coins you are holding.

I think need of crypto bank for a just securing your crypto assets is not a good idea. Crytocurrencies have many trusted secured crypto wallets hardware wallet and software wallets both and these wallets are secured with private key which noone knows other than the owner of that wallet. If such high security cannot keep our cryto assets secure than how can we trust on banks. Can't banks software/wallet be hacked by hackers? Crypto banks will only charge the fee for keeping your assets but they cannot provide you better security guarantee.

I think there are only few people who will only store their cryptocurrency in banks because most people will rather store all of their crypto in their own crypto wallet. Storing in banks is not 100% safe, that is why keeping all of your crypto is still the safest way especially if you are using a hardware wallet, after all cryptocurrency is not like fiat that it is good to store it at the bank.

Indeed, its like losing its real intention and desires. Also, don't you think that if it finally happens government will not take advantage on it? of course they won't allow it unless they are gaining some benefits from it. Governments have different way of thinking so are we but most of them are only thinking for their own benefits, I just don't think that it will turn out good but it seems possible particularly these days that everything involves technology. Well despite of that I think i'll just support it, its still crypto and I do believe that they will not establish something that isn't worth it.

@OP, nothing of such can happen, which it will result into a lot of issues.
The question I asked myself was that, "who are those that will be in charge?" Is it government that want to centralize crypyocurrency? Is it a group of people or individuals that will at anytime come to tell you that their system has been hacked? Hese and many more are why it might not work.

Considering the fact there will be a middle-man in crypto bank destroys crypto purpose. Although it has certain benefits I just do not think that it will work the way we imagined even it is been highly regulated by government. Big companies was once been hacked by random intelligent people although it looks like not penetratable though, and crypto could only be use within the technology itself that is why they are also prone into hacking, either way hackers could make their way to penetrate our security in a manner of greed.

There was already an attempt to create such a bank, while the attempt failed. There are too many permissions and agreements that are currently unrealistic to obtain (look, for example, on the Libra project - they also cannot get regulatory approvals).
The project was called Polybius (now renamed Osom). The topic in the English section of the forum has been deleted, there is a topic in the Russian locale: https://bitcointalksearch.org/topic/annico-polybius-blockchain-1907106