Topic: Bitcoin as an opportunity for the unbanked. (Read 498 times)

Many people always say that bank cards have an annual or fee for bank transfer, that's why many people can't use the bank. Is that the cause? I don't know how the banks are in your country and other countries but the banks in my country. It'll only cost you $2 for the annual fee, and it's entirely free to transfer money between banks in the country. How can many people say that bank fees are a barrier to people not using the bank? Meanwhile, in times like these, completing a bitcoin transaction can cost $2 to $3 per transaction. Bitcoin transaction fees will only really outperform fiat when it comes to cross-border transactions, it couldn't be cheaper to use for domestic day-to-day transactions.

Most USDT is issued on Tron so a cheaper, faster, and more stable option already exists and it has gotten meaningful adoption in some third world countries. Stablecoins might be more convenient but they come with certain tradeoffs. They are centralized and your funds can be frozen at any time. For everyday payments stablecoins might be fine but for long time holding I would still prefer Bitcoin where I don't have to worry about inflation devaluing my savings over time.

Keeping your money in the form of BTC does not guarantee that you wouldn't be spending it as fast as fiat currency.  At the end of the day it depends on the person who is saving the currency.  I believe at this time, fiat currency and cryptocurrency is in the same footing on how it can be spent since there are now many merchants that accept Bitcoin though not as many as fiat currency but it can be easily accessed now.


Ever since the creation of Bitcoin, it has been its major feature, since its core plan is to remove third parties, and works as true P2P, with Bitcoin creation financial inclusion is now an easy access for the unbanked.


As long as Bitcoin is not banned and the country stays neutral about Bitcoin usage, I do not think that it will be a problem and I believe it still can help the unbanked even with this kind of country.  It will be a problem if the country banned Bitcoin.

70% of people you talked about who keep their money at hand are illiterates that don't value banking roles, this set of people might have heard myths of how stressful it is to keep money in banks or be defrauded of their money. Apart from these, they might not have access to the internet or even have internet-enabled phones.

That's pretty much the reason for some people here in my country though and both even happens wherein they would be lacking in access to Bitcoin. You don't necessarily need bank account though. There are apps used in here that can be used by sellers in order to send Bitcoin easily such as Coins PH which is one of our local apps used for cryptos.You could just send any amounts of Bitcoin to any other addresses in no time without any hassle. If it was for the situation of the poor, just pay personally then the seller would send the ordered amount to a certain address.

Scammers are different discussion though.

Well considering how there are tons of smartphones including the local ones being released in here, it should pretty much be almost moderately easy to get an access to smartphones though. I think even by just going to one's local government unit would be enough.

As the rate of those using smartphone are increasing so will the use of Bitcoin also increase. Among the countries in the world only some few counties in Asia and many countries in Africa still have a problem with Internet and Smartphones. Nothing can be done for those in those situations cause even when you plan charity program to give them smartphones, some might sell them in future to generate income for them to be able to feed.

Bitcoin gives an opportunity for everyone both the banks and the unbanked. Bitcoin is an alternative to the current banking system that's censored, you can't do anything with you money without been monitored, bitcoin gives you the opportunity to be in control of your money.

The traditional fiat banking system is so discouraging now with the procedural policies involved in depositing and in withdrawal of your own money. As an alternative it's worthy of note to say bitcoin arrived at the right time to salvage people from the restrictions and challenges they face using the traditional banking system. For years now, the Lebanon banking system is being bedeviled with systemic failure and this has led to many customers/citizens unable to have access to their funds since 2019, a situation that has created an untold hardship on the people and discouraged any form of trust on the country's banking system as controlled by the government. https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://en.m.wikipedia.org/wiki/Lebanese_liquidity_crisis%23:~:text%3DThe%2520Lebanese%2520liquidity%2520crisis%2520is,the%2520Russian%2520invasion%2520of%2520Ukraine.&ved=2ahUKEwjNzM-k0___AhVSVsAKHTmvBwYQFnoECAMQBQ&usg=AOvVaw2tNy6opS67LgVy6R3VGSGU

Once upon a time people used to trust banks a lot but due to the increasing number of bank frauds many people lost their hard earned money due to which people now have less trust in banks. Even if there is no faith in the bank, most of the people keep their money in the bank by compulsion but there are some people who do not like to keep the money in the bank so they keep their money at home or they invest in something else with that money. Before we need to know whether people who don't keep money in the bank have any idea about bitcoin, if they don't have any idea about bitcoin then how they can change their money through bitcoin. We may talk about these things easily but it is difficult to show them. Because those who don't have any idea about Bitcoin will find it very difficult to explain it. And those who have an idea about Bitcoin will never leave money at home, they will invest.

Bitcoin is always good to save and invest for the future with several advantages that Bitcoin already has. But as long as you continue to use fiat in your personal life and cannot stay away from fiat in any way, you still really need the bank in your life even if you try to save as much Bitcoin as possible for future investment reasons. Because I really feel this way in life where I can't stay away from the bank when I still rely on fiat in my life even though on the one hand I also like to keep Bitcoin until now.

There's no way in hell that I'd store money inside my house; that's a huge hazard and an extremely unsafe practice. Hiding money beneath the mattress isn't up to today's standards. As much as I don't prefer the banking system, it's necessary for the economy to function, and it's probably the safest option to store fiat and be able to use it at any time.

You're mentioning that fiat currency is tangible; I understand your point; however, cryptocurrencies can be converted at any time through an exchange, centralized or not, without too much hassle. Thus, I don't see any significant inconvenience regarding cryptocurrency usage. It's mostly because we prefer not to use cryptocurrencies due to their being deemed valuable investments rather than a means of payment.

For those who don't have much understanding of economic operation or management, this story is really not for the majority, just some people like OP feel the problem, I see in Here as different regions they have different standards and measures of quality of life. If you have ever visited countries in Southeast Asia and went to experience some countryside, do they think about having to manage money, I want you to understand that even if the money is not much they are still happy. Or go to places with large developed economies like Japan and Korea, whether they really care about how safe their money will be, I like that some people give a good view of money or about how we don't always see material things as the essentials of life.

I think banks are welcoming. They will only terminate you if you are violating their rules but we shall not worry as there is still Bitcoin that is willing to accept us. Bitcoin has no restriction because there are no people behind who operate it and it also offer benefits better than the banks like the interest rate here for our invested money is thrice or more higher than the banks. Internet is so common and Bitcoin isn't that hard to use.

The only real thing that matters is if it's already legal in our country or not. Another reason why many people are unbanked is due to financial problems. Banks might have a minimum and some processing fee but these are not available in bitcoin.

We all know that it's safe to bank your money than unbanked it because if there's someone who see your bunch of money with their eyes, there's a high possibility that they will steal it even though it's your friend. Well, there's always a reason why you unbanked it, so to make it safe and earn profit in the future I recommend to invest in Bitcoin or diversify to other top altcoins. I believe that the annual ROI is so big, and with Bitcoin possibly you can make this in months.

That's right that through Bitcoin it is possible to make transactions without the current banking system. It has taken us out of so called banking services. But to use Bitcoin you need to have at least a smart mobile and internet. We know that many communities in today's world are still without smartphone and internet service. Moreover, to trade bitcoins you must have knowledge about bitcoins. So I think that in order for Bitcoin to be more successful in the future, it is necessary to spread the knowledge about Bitcoin among people at a higher rate.

Is it safe for those who have a lot of fiat money and keep it in a vault at home instead of depositing it in the bank? Of course not. But if fiat money can be converted and transferred to bitcoins then it can certainly be safe if he can store the bitcoins properly. A person using a vault at home worries about the safety of their money when they go out, but a Bitcoin investor can be completely safe from such worries. For a new investor I would agree with you that he can keep 10-15% of his wealth in Bitcoin. After that if he feels, it can bring benefits to him then he can increase his portfolio as per his wish.

Besides reasons like they are poor and can not have enough money to use bank accounts like annual fee for a bank card and fee for bank transfer, they will have more problems with Bitcoin and Bitcoin transactions.

Transaction fee on chain is sometimes very expensive and it is more expensive if they don't use non custodial wallet and don't use times when fee is cheap to consolidate small inputs. Like if they make a Bitcoin transaction with fee like $1 or $2, it is very costly in their nation and especially with their bad finance condition. With bank transfer, they will have less bank transfer fee compares to Bitcoin transaction fee.

Bitcoin blockchain does not care what nation you are from, what is average income in your nation, Bitcoin transaction fee must be paid in bitcoin and the cost will depend on price of Bitcoin at time of transaction.

If they have such problems, use cash is best, no bank transfer fee, no Bitcoin transaction fee.

It can hardly be disputed anywhere, on how the brilliance of the decentralized system didn't work. It did, and it has been a savior for many unbanked that have digital I.Q and if not, have friends who do and they trust to help be their broker.

The only issue I fear now is, it may soon become tough for the unbanked due to the new regulations that might be imposed should BTC get accepted in one's region/country of residence.
The crypto exchanges might have to work with the banks and thus crypto will be taxed. So anonymity become visibility and transparency.
I think BTC as an option for the unbanked might soon serve as a way to become banked.

In case you are one of the persons that store all their money at home in a big vault, you might be reluctant to transfer all your money into bitcoin. The upside of having fiat money at home is that you can see it, touch it and even when the whole world breaks down you will probably find other people that are willing to trade with you for that money. Making now the switch to a fully crypto wallet can be a hard step for people that are so used to using cash in their daily lives. I would recommend to not move too fast and rather slowly ease into the crypto community. Why not start with building a crypto portfolio with 10-15% of your wealth and slowly build it up over time. Bitcoins are a good currency to store value online, and its also a great opportunity to make some money longterm. But I wouldn't recommend to put all our money into one single asset class, better to spread it out and diversify in multiple different assets.

If we see it practically, then banks don’t commit fraud. They just quote you many laws and rules and block your account if you break those laws. Yes, bitcoin can really be a lifesaver for the person who is holding money in their house. For this type of person, bitcoin can be a safe investment, as they will have the complete freedom to control their finances independently. So yes, we can see that Bitcoin is really an opportunity for the unbanked. The decentralised nature of the coin has really made the work easier.

If we're talking about storing savings, Bitcoin can be a good opportunity not just for the unbanked but also for those who aren't satisfied with fiat inflation rate and the bank's oversight. But if it's about a more general matter of banking, then there are big disadvantages when it comes to choosing Bitcoin over a bank account. People often need a bank account to receive a scholarship or a salary, and a bank account statement is a common visa requirement. In all these cases, you can't just get by using Bitcoin, unless you happen to live in a country where at least some of that is possible, but that's very uncommon.
My point is that even if we're pro-Bitcoin, we should be transparent and realistic about the choice between banks and cryptos.

I wonder, for the poor/third world, why don't they have access to the banking system? Is it because they are too poor to have a bank deposit? If so, how can they get access to bitcoin? Because to use bitcoin, we need to have a bank account to buy and sell, without a bank, we will not be able to buy bitcoins, which is not an advantage or opportunity of bitcoin. One thing we must remember is that bitcoin is not free, and anyone who wants to get it has to buy it, so banking and fiat will always be necessary for those who want to own bitcoin.

Yeah, bitcoin is an opportunity for the unbanked people. There are lots of people from the 3rd world/poor country where they don't have access to the banking system. But the problem is, is bitcoin the best option for the unfortunate people? Can you afford to lose their money due to volatility? How many merchants or people are willing to accept bitcoin as a payment. How safely do you think they can keep their money? Bitcoin does allow people to be their own bank, but it is not the perfect solution for those people. Maybe there are other altcoins out there that are more stable, cheaper and faster to use, they can try those. But yeah, those aren't bitcoin, so the risk is equally high here.

Even if bitcoin is a viable solution for anyone who doesn't believe in centralized banking and financial systems, are you sure they really can consider the risks involved in bitcoin?

I don't fully believe you can convince them that bitcoin will be a safer store of value than gold or other investment assets. I think bitcoin is only suitable for those who are able to understand risks and manage risks well. While they tend to prefer to keep their fiat at home, it's clear they wouldn't trust anything more currency that doesn't have a physical form includ bitcoin.

Bitcoin is indeed a great alternative to the traditional banking system, but keeping your fiat savings in your own house because you don't like the way the banks operate? I don't think that's any safer. I know there are people who do that, but when it comes to keeping a considerable amount of money, it's pretty risky. At least with banks, your money is insured and is kept safe, notwithstanding whatever they do with it.

Also, Bitcoin may not actually work for everyone. And I'm afraid it's wrong to say that "blockchain technology guarantees your Bitcoin security." The blockchain secures the transactions in the network but your Bitcoin is your sole responsibility. You and you alone own and control it. While your coins cannot be removed from the blockchain, they can be stolen from you.

I have never had a bank account and that is why I am such a strong supporter of Bitcoin. Coming from an immigrant background I have seen how frustrating it can be dealing with banks and traditional finance. In case of an emergency there is no guarantee that you will be able to provide assistance to a family member since there are many hoops to jump through whenever you want to send a substantial amount of money. There are also some banks where you cannot open an account due to not having the right kind of identification. With Bitcoin those kinds of issues don't exist. It is just a matter of gaining enough adoption so unbanked people don't have to continue living as second class citizens.

Certainly, Bitcoin holds potential to provide significant benefits for unbaked population around the world. However, in order to fully tap into this potential, there are several major issues that need to be addressed. These include achieving widespread adoption, developing infrastructure, ensuring easy access to Bitcoin network and establishing regulation and acceptance of the crypto currencies.

Adoption of Bitcoin is an evolutionary process and it is making satisfactory progress. One promising aspect is that youngsters all over the world are seeking to understand this emerging technology and participating in its trading and investment related activities.

Bitcoin presents a transformative opportunity for unbanked populations that have traditionally been excluded from the formal financial system. But one thing works here, only those who have access to internet and knowledge about bitcoins are getting the opportunity to use unbanked bitcoins. Unbanked individuals who use smartphones and have an internet connection can securely send and receive funds via Bitcoin. Where there is no need for intermediaries and can reduce transaction costs somewhat. However, lack of access and lack of knowledge is the main reason why a large population is unbanked in today's world. On the other hand there is also a need to be educated to use Bitcoin and it has to do with a government decision on what is legal and illegal in the country in which to use it and how the government sees it.

But then you will also need a bank account or fiat if you want to continue to exist in this world. Yes, bitcoin is an alternative to banking in some cases but unfortunately, it cannot wholly replace the banking sector, there are too many limitations to say that it will replace all that banking is providing us. Bitcoin is only an alternative, it cannot replace fiat or banking.
I believe that no matter if people lose faith in the bank, people hate it or not, but as long as the government controls the world, we cannot stop using it.

We cannot generalize what you say, and I think that the reason for your claim is that inflation in your country has reached record levels or there are financial problems in your country such as random printing of money, exorbitant customs and taxes, lack of wages and other economic problems that differ according to the country.

Bitcoin is a good solution for anyone who wants a long-term investment, not because the currency will increase in value and you will be rich, but because you can get multiple options that are not provided by banking systems, where you can transfer 24/7 with very low fees and to every place in the world.
This transaction would have cost a lot of time and fees had it been done through the traditional methods.

You think that nowadays many people keep their money at home, rather than in the bank. In my opinion, all of this has not really happened completely, and currently there are still many people who still use banks (the majority).

In fact, currently the bank is making too many profits from its customers, and all of this has been going on for a long time and nothing can make the bank's system change.
But what I experienced where I live, many people around me are not aware of it. So even though the current banking system is quite draining of money for its customers. But what I know from real events, customers in my area, don't really care about that. So maybe the incident is different from what you mentioned, or what you experienced around where you live.

So in conclusion, the current bank users, especially those in my country, are still in the majority and maybe in other countries the users are still in the majority.
It's true, bitcoin might be a light for a very dark banking system. But even so, it still takes a long time to convince people or tell someone about bitcoin. Because most of the minds are familiar with what existed before bitcoin existed.
So even though bitcoin can be good for them, if they are hard to get involved in, it's still useless.

The banking industry, under government 'protection' and regulation, resembles something out of a play, with the banks playing the roles of actors and the government playing the role of the director, while the rest of us can do nothing but watch. Centralization and privacy concerns are really a subplot in this carefully staged show. Bitcoin, on the other hand, is a welcome change of pace, even if there are occasional security flaws. At least it's not an act; at least it's real.

While I agree that Bitcoin can be used as a long-term investment, I believe it has far more potential than that. Motivating financial institutions to see Bitcoin as an investment option is only part of the problem. Getting people to see the flaws in their own system is the goal. That Bitcoin's rise isn't random, but rather a reflection of their own shortcomings.

Its true that Bitcoin isnt recognised as currency in all countries. However, thats just Scene Two, right? The lagging nations will inevitably suffer the effects of this. Bitcoin's popularity isnt going away anytime soon.

In today's financial landscape, the distrust towards traditional banks is understandable due to perceived fraud and unjust charges that erode hard-earned money. This has prompted both banked and unbanked individuals to seek alternative methods to safeguard their wealth.

One solution that stands out is Bitcoin. It offers financial empowerment by allowing you to be your own bank, ensuring full control over your money without any interference. Bitcoin's inclusive nature enables participation based on interest, irrespective of identity.

With blockchain technology providing robust security, Bitcoin presents a compelling opportunity to protect and grow your wealth.

Another reason why people are unbanked is illiteracy and lack of access to banking facilities. An example is the rural areas of my country where we have some rich farmers that prefer to keep cash at home than keep it in banks because they don't know how to read or write. The process of account opening which include filling out forms and other documentation scares them away from banks. Banks concentrate in urban areas making many people in these rural areas unbanked.

For now, bitcoin is not a good option, especially for these rural dwellers. Illiteracy will limit them from using the bitcoin network because they still need the basic skill of reading and use of the internet. Bitcoin adoption will be slow in developing nations that have high illiteracy rates. The unbanked that can benefit from bitcoin are those that are enlightened and want to use bitcoin as a hedge against inflation or investment. This is because using bitcoin for daily transactions is not cheap.

But I believe even people who don't trust banks are using banks in their lives, and using the bank is not a like or a dislike, but it is almost mandatory because we don't have a second choice. As you said, how can someone invest in bitcoin if they don't have the money? Bitcoin is not and never will be the currency of the world, and to get it, we need to use fiat to buy it. So it is not correct to say that people without a bank account are an advantage for bitcoin. I am not pessimistic about the future of bitcoin, but to say that it will replace or surpass fiat is unlikely, fiat will always be the backbone of our economy.

Banks are regulated and supervised by government entities, which provides certain protections and guarantees to depositors, however, as many of us know, these have other problems such as privacy and centralization, I think both have their advantages and disadvantages because as you say that Blockchain technology ensures protection... there have been cases of bitcoin theft in the past due to vulnerabilities in the exchange platforms or security errors in digital wallets.

I personally prefer to keep my money in Bitcoin, but only to see it more as a long term investment, the real approach that we should implement to the bankers would be that, to make them see that Bitcoin is an excellent investment method, since as some commented not in all countries this Bitcoin as legal tender and that brings difficulties for countries that do not have this benefit.

A good question is to whether basic internet and mobile access is more common than access to a bank. I believe it would be the former, as some places may struggle with identity, though have internet access.

Those areas to which the population have no money, or no economy, may probably self sustaining and better off without anyway?



They'd trust it because they have control over what they hold. Additionally, they can acquire it anonymously with cash (which these kinds of people most likely hold, as it's unlikely to assume they use banks). In fact, Bitcoin is trustless in terms of usage. In terms of its founding and motives, that's in the past. There's not much to trust there that effects usage today.

What is the reason behind a huge population staying unbanked, major reason is the lack of access and the knowledge that makes the people go with practice of saving fiat in hands. When the unbanked number stands high due to the lack of awareness about banking how come it is possible to make those people use bitcoin. It is a difficult task and this is all about how the government gets involved in educating people about bitcoin as well as its stand on legalizing and adopting bitcoin.

Until now BTC doesn't have mass adoption so won't be able to use bitcoin for shopping unless converting to fiat first I think every country has its own rules so we can't just spend with bitcoin and currently bitcoin is more of an investment asset and other alternatives in certain areas that already accept bitcoin.
So if someone is in a country where bitcoin is prohibited then they must have a bank account to receive fiat.

Well, that reason would be very appropriate, because some poor people don't have a bank account and they can only earn directly without transactions using a bank, there are also other reasons that every individual doesn't have a bank account and they believe more in putting money in a safe, I think people with there are reasons like this.

There are many types of unbanked people, those who distrust banks are only one group among them. Globally, there are other groups - people who simply don't have access to banks where they live, people who are too poor. How would they adopt Bitcoin if they don't have computers or phones, don't have Internet connection, don't have education to use Bitcoin safely? How would they obtain Bitcoin if they have no money?

And returning to the first group of people who don't trust banks - why would they trust Bitcoin? They might believe in conspiracy theories that Bitcoin was made by CIA or lizard people in order to control the masses.

Bitcoin represents a disruptive force against traditional banks. While banks were introduced to provide financial services and promote transparency, they often fell short. In contrast, Bitcoin and decentralized finance (DeFi) have empowered individuals, particularly in regions where accessing loans or opening bank accounts is cumbersome. The advantages of Bitcoin include global accessibility, lower costs, faster transactions, self-custody, and improved privacy and security. These factors contribute to the recognition of Bitcoin as a revolutionary force with a promising future.

Nah Nah, I would say Bitcoin is the destruction for the Banks, I know I'm going in the wrong way in concerns to the topic. This is another side of your topic as Banks were introduced to provide all sorts of financial services and bring transparency but they did the Complete opposite to it, Bitcoin and DeFi brought those services within the reach of a civilian which he can even dream at least in my region. A loan is a big deal, Even opening a bank account is a big deal. I visited 4 times bank to prove my source only haha just a formality and I can't even count the many Bitcoin wallets I have (Kidding I can count there are a few only) but hope you got the point.

⚫ Global Accesibility.
⚫ Lower Cost.
⚫ Faster Responses (Transections).
⚫ Self Custody.
⚫ Actual Privacy & Security.

These are a few basic superiorities of the BTC BTC and Defi on the edge of Banks. Bitcoin is defiantly the most recognized future revolution and we are hopeful.

Keeping money at home will protect against thieves from the banking sector, but will not protect in any way from ordinary thieves roaming other people's houses.

Inflation devours money lying at home in the same way as it does in a bank account. The only difference is that the houses do not accrue (albeit small) interest on deposits.

This is how the banking industry works. If you don't like the rules of the game, just don't play.

First, it sounds like propaganda. It is more repulsive than attractive. Those who are interested in bitcoin don't need it, and it will not work for those who are not interested.
Secondly, it is not so easy to be your own bank and ensure the safety of your funds. This must be learned and not everyone can master it (especially at first).
Thirdly, it’s worth trying, but first, you need to figure out what and how to do.

Indeed, the traditional banking system has its shortcomings. It's like a tight rope dance where we balance between the convenience of banking and the drawbacks of hidden charges, low interest, and perceived unconsented lending. However, Bitcoin as a solution might be too hasty a conclusion. The animated excitement around it is understandable, but let's hold our horses and don our skeptical glasses for a moment.

Bitcoin's transaction fees have been soaring, which makes it less than ideal for small transactions. While it is touted as a democratic system, remember that it consumes considerable energy, indirectly contributing to climate change. Further, its volatility can be a deal-breaker for people looking for stable investments. Yes, Bitcoin does offer control over your money, but it also shifts the onus of security entirely onto you, which may not suit everyone.

Before investing, be informed about its pros and cons. Don't just dive in headfirst; tread carefully, even if it's with "a little money"

You have spoken well but from some of your points I understand that most people who always save money at home are even the people who puts themselves into much risk of losing their money.

Whenever money is being stored at home there are chances and possibilities that one could get robbed or misused those funds stored at home, that was why banking system was introduced although when there was no bank that was the oldling days of savings money but with technology and inventions they had the banking system where people stored and entrust their savings in the hands of bankers.

But at some point we began to lose interest due to some uncertainties where people do not longer trust bank with their money, but there's another thing we need to know about bitcoin it's very hard for bankers to trust bitcoin although there are people who are into it and bitcoin is a digital asset there are people who don't have that strength and energy to go run internet bank.

From some point i do term bitcoin as Internet banking because for a transaction to occur one must need internet to start the whole process and not everyone who has the capability and ability to operate on internet to stay monitoring their their assets, I know and have this belief that it is a gradual process where everyone would became used to it and start operating it swiftly

Keeping money at home is wrong, if you are doing this it's only a matter of time before you get robbed, robbers don't hunt homes anymore because they believe that everyone now uses the Banks to keep their money but if anyone knows you are doing this you can get robbed, not even now that everything seem harder than past years, it's a bad practice.

Bank charges are very high than using bitcoin to pay like you said but we still need Fiat to run things, the problem is Bitcoin is not acceptable worldwide, you can't use Bitcoin to purchase most things that human needs daily, in the end you need to convert Bitcoin back to Fiat and that Fiat will land inside your Bank account, and if you keep doing this your Bank will sit charge you monthly for the service they provide to you.

So can we really escape from the Banks?

Bitcoin transaction fee is not like fee in bank transfer which will have different fee tiers with bank transfer values. Banks charg you more when your bank transfer has higher value.

Bitcoin transaction fee is different and only depends on transaction size and fee rate. With same input, output, address type you will have same transaction size. With same fee rate, two transactions will have same transaction fee even they move either $100 or $1000 bitcoin equivalent.

I agree with you that fee for bank transfer and Bitcoin transaction are always big problems for small value transfer or transaction.

So true, those that are aware of the global news and events. This is one to be worried about. Like those people in Lebanon that they're not even allowed to withdraw their money on the banks there as per the instruction on them because they might be out of money too soon. While looking at the situation of the people there because I've just watched a video of someone who forcefully took her money from the bank where it is deposited, she had to scare them out.

Well, this is the business model of the banks. That's like their bloodline and how they're able to survive with this business. Once you have deposited your money on them, that's already the consent from the depositors.

All that you've said are true. But we can't force people to like Bitcoin, they'll voluntary like it soon when they see the value of it goes up again and once we're back in the bull run. With all of those technicalities and everything, they wouldn't mind about it but only about its worth and value.

I've heard that many times but I'm not so sure. For starters, if the fees are high, I don't think it would be convenient for unbanked people to make day-to-day payments with Bitcoin, besides they won't be able to do it in many places and the LN is impractical if not relying on third party wallets. The unbanked do not have enough to save much, they live from day to day and for little savings I think Bitcoin is the same as a bit of gold.


But we are talking about unbanked. How much savings can the average unbanked have? $1K? I don't even think so, depending on the country. With amounts like that, I don't think there is much risk of being robbed and if someone does it because they know they have savings, it doesn't matter if they have Bitcoin, gold or cash, the most important thing is that no one knows about it.

Bitcoin is bitcoin, and over time we will find and associate its features and limitations with life. It's not too easy for me to judge when it comes to investing in savings accounts or with bitcoin, because in different asset portfolio positions we don't just compare the good of one to the limitations of the other. Totally agree that bitcoin is gaining more and more investor confidence, but the volatility and the expectation of long-term stability over time I don't think will happen, nor do we need to complicate the situation. It doesn't matter how to pay or use it, as long as it benefits your decision then you should do it.

If they are fearful of banks and decide to move to Bitcoin, it is a first good step but it is not enough.

If they open their accounts at centralized exchanges and store their coins in such accounts, they will face with risk like with banks or even bigger risk. Because regulations on cryptocurrency centralized exchanges are easier than on banks. So risk with centralized exchange will be bigger.

If they do this, stay with banks is safer.

Reminder.
If they choose Bitcoin, they must use non custodial wallets.

You don't need a bank or government permission to use bitcoin, but if you don't have a bank account and your country bans bitcoin, how will you use bitcoin? I wonder how can someone without a bank account own bitcoins, are you using banks and centralized exchanges to buy bitcoins? Bitcoin is decentralized, but our world is centralized, and the government runs everything. If they don't accept it, you will use bitcoin in fear, isn't that called freedom?

What fraud is experienced when using a bank, if you are not using their credit facilities? Technically, you shouldn't be scammed by a reliable bank. I don't condone the use of them, though I don't think they are blatant obvious scammers (until they collapse lol)


Unless you get paid directly in Bitcoin, or cash, then you are going to face taxation. There's no way to avoid that, until the system is changed. If you mean inflation is taxation, I suppose that's a fair way of putting it since inflation does stem from central banks and money creation.


Bitcoin is not the answer just yet, though it does present an opportunity to operate partially outside of the financial system. It's still difficult to be 100% bitcoin, unless you are already well funded.

We admit that the presence of Bitcoin with its system that facilitates transaction matters can be a solution for those who do not have a bank account.
There was one prominent member of the forum posting outlining how Bitcoin saved a lot of unbanked people but I don't know what the topic title was or where it was created.

In this context, I agree with you that not all of the countries in the world have adopted Bitcoin like El Salvador.
Counting the advantages and disadvantages, the position still has many advantages even though for shopping you have to exchange it to fiat. The rest can be used as investment assets with the aim of maintaining its value.
Many people want it to be like El Salvador, but it's conflicted with various regulations and other factors.

BTC is permissionless and so anyone can use it, but it is still a second choice currency and you cannot live on only it. To spend your BTC you need to convert it to fiat and receive it through your bank account. Op your theory is only possible if there is mass adoption and you can spend BTC on anything at all. Transaction fees on the network is not even cheap these days, but that's another story!

I know people can be unbanked for different reasons, but as far as i know, a large percentage of the unbanked in any society are people who are poor, don't have a job or do not have any money to keep in a bank, if that is the case BTC cannot help this category of people who are just looking for what to eat and make ends meet.

Bitcoin doesn’t need a country acceptance before the user can use it since it’s a decentralized asset which means no centralized party like bank needed to make a transaction from a person to another. You can spend and receive Bitcoin anytime from other user as long as you have an internet connection.

Bitcoin is being use on early days without the acceptance of government on it. They can only regulate Bitcoin through the centralized exchange but they can’t regulate Bitcoin directly.

I think bitcoin can help the unbanked only if their country accepts bitcoin and people can spend and receive bitcoin wherever they want.

That's a naive thinking, if most people leave their money in their home, the criminals rate will increase really high since they know where you leave your money. Using this reason and saying become your own bank with Bitcoin isn't make sense, you're leaving your private key and your hardware wallet in your house too. Even the criminals didn't find it, they can just pointing their gun in your head and you will tell it honestly since you think your life is more important than money.

But it's not mean I want to say better to leave your coins on a centralized exchange, you need to find a way to hide your private key in a thing that no one expect.

If you keep money (fiat) in your house, you can easily spend it, you will only noticed you spend it very fast. If you do not spend it, someone can know and invite thieves to steal your money. If thieves do not steal the money, the banks are still robbing you by decreasing the value of your money during inflation in a way that what you can use it to buy today, you can no more use it to buy the same amount of thing next year.

See what that happened in the El Salvador, that IMF and US government did not like. Bitcoin is now available to the unbank people in El Salvador and their economy has not collapsed but life made easier for the El Salvadorans.

But one problem is bitcoin can not help the unbank people in countries that do not adopt bitcoin like El Salvador and also in countries that prefer to spend fiat. Most people prefer to spend fiat and use bitcoin for investment.

Another thing is that people that know how bitcoin works will have bank account because bitcoin is not for illiterates but for people that are literates and able operate phones and computers.

In the world today, many people prefer to keep their money in their house save because of the perceived fraud by our traditional banking system that has decided to rip the populace off their hard-earned money without remorse, through different unexplainable charges, this has changed the mindset of the un-banked because of the complaints coming from the individuals involved in that process, this individual, both the ones that are already banked and the unbanked are looking for alternative other alternative means that they will use to safeguard their wealth.

Financial institutions put up these outrageous charges and unacceptable taxing methods and lend individual money to other people without their consent and unknowingly to them, in return give them interest below what is expected yearly, taking back the interest through taxation and so making their money always depreciate in their bank account.

I want to categorically tell this set of people that Bitcoin is the way forward for you, bitcoin works for everyone, and the system was designed in a way that every interested person can participate.
Bitcoin allows you to be your bank and be in charge of your money with no interference from anyone. Participation is dependent on your interest, not your identity, that's to say that everyone can be involved without their identity known. Note that blockchain technology guarantees your Bitcoin security, so don't be afraid just give it a trial but with a little money I believe you won't regret it.