Topic: Bitcoin banking system - page 2. (Read 811 times)

Banking already upgraded, almost all(or all of them?) of the banking here in our country have online system now. So basically, Bitcoin being online is equal to online banking! The only thing that keeping them separated is the concept of those two currency but who cares! They are just both currency that have their own features. In my opinion, those those shouldn't be compared since, with cryptocurrency and banking system our economy are being upgraded and they are just working just fine as what they are right now.

Today there are a lot of people right away are using the bitcojn and because of that they see the potential of the coin to make more money through the use of the investment, trading and gambling but still it depends on the person or the player how does they use their funds but what are the common request of them? Bitcoin is much better to have an atm by this some of the country already supported the use of the bitcoin make their way to produce these some of the country already have their bitcoin atm that is good because it is more convenience to their users. Now they are requesting the use of banking system in the world of the bitcoin but I think this may not happen because bitcoin is decentralized so at the first place the government does not have enough power to control and adaptation of the bitcoin because it takes a lot of process before this kind of action will support by the government still they want to secure all of the transaction and also the bitcoin has a volatile market unlike the market of fiat.

I think more than likely banks will hold on to fiat until they can no longer and then they will start using blockchain technology. It will be interesting to see what they will do or why people would use it over decentralized currencies. Perhaps for security and the ability to possibly reverse payments? I can't think of any other reason why someone would use centralized crypto over decentralised.

Fractional Reserve is a banking system that allows commercial banks to make a profit by lending a portion of their customers' deposits, and only a portion of these deposits are stored in cash and available for withdrawal. Practically, the banking system makes money from nothing using a percentage of the bank's customer deposits.

But if you are in a country that does not recognize Crypto as a currency, what happens? Each country has a different policy regarding digital currencies. Moreover crypto currency is very volatile is not fixed. I think I will still need a bank, because not all countries of the world legalize digital currencies.

We all have at least one bank account and after using BTCitcoin and cryptocurrencies we have realized that the banking system should be reformed. So I think banks should adapt to the time we live in and update their system. There is frequent talk of the creation of CBDC that has been successful in the banks that implemented it.
Commerzbank (Germany)
UBS (Switzerland)
JP Morgan (US)
ING (Netherlands)
Banco Santander (Spain)

Blockchain in Banking Industry Use Cases
https://changelly.com/blog/blockchain-in-banking-industry-use-cases/

This is not true, many countries do not intervene in the economy (are more liberal) and the real purpose of a Central Bank is to serve as a Bank for banks. They don't have to dictate monetary policy even if that's typical in many countries. A good example would be the role of a central bank in a country without a national currency.

And all of this is related to fractional reserve. If you don't understand fractional reserve, you just cannot understand why there are so many banks. And if you DID understand fractional reserve, you wouldn't be using banks in the first place.

The end result of the existence of Bitcoin. is that banks will need to shrink. There are just too many of them and they are redundant. They can shrink slowly, product of the natural disuse of them, or rapidly should the people of the world suddenly decided to withdraw their money which cannot occur under fractional reserve rules; your money is simply not there and most people remain ignorant of this.

With Bitcoin every coin is accounted for, you cannot do vapor money like banks do with fractional reserve. A bank can only work with Bitcoin with a full reserve, and that means you have to pay them to keep your money rather than the other way around (think bank vault). The Bank of Amsterdam used to work like this a century ago, such type of bank can never go bankrupt but makes far less money than the other banks doing the legalized ponzi scheme. In a similar fashion the Chicago school of economy needs the whole credit expansion system that this fake money provides. You will never understand Bitcoin place in the world without the Austrian school of economy where you grow slowly by saving, not quickly by getting in debt.

And yes, money that keeps its value overtime makes people save more, and you don't need a bank for that anymore.

This is natural, because all countries system must have a central bank. The Central Bank institution that is responsible for maintaining the stability of prices of goods and services, as well as the exchange rate of a currency that applies in a country. If BTC is legalized and become a means of payment this will be difficult. Because the central bank cannot control. If it is legalized and regulated by an institution, the original nature of BTC is not decentralized. Moreover, the use of Bitcoin as a means of payment will collide with the scalability problem. So bank institutions in a country need to regulate issues regarding the legality of BTC.

To answer the question very simply, why would the king of a state let another entity to take control its territory? Of course government do not want any decentralized body to take over them to keep the order in people, It is either they are going to prohibit the use of it or adopt the use of it but most likely they cannot totally ban the crypto in a way that they are not going to sacrifice any thing. It is not a fight for the bitcoin to win, this is the common misconception about bitcoin and government, this is not a fight but instead this is an ongoing process of acceptance.

Digital Central Bank Currency are already present in some countries, and some are in testing to have their own actually I don't really see this fully working in 2 years but I hope this will be a good time to test it out and launch in the future.

Bitcoin is very strong , but another question we have to be asking ourselves is whether our government is going to let Bitcoin prevail?
Bitcoin gives us freedom, and to the government it is out of reach and cannot be controlled by them. So, do you think that they are going to allow people to go fully on Bitcoin? If they notice that majority of the people are starting to move away from fiat and moving into Bitcoin, they might start putting up a fight against it.

Some of them are now talking about creating their own cryptocurrency, and I saw news recently that China is close to releasing theirs, even saw someone that posted the Chinese cryptocurrency wallet, what it looks like in this forum.

Is there any purpose designed crypto bank platform? I mean any fiat funds deposited are automatically converted to some ERC20 stable coin? I know you could technically do it on exchanges already like binance. But for any business in high risk industries who struggle dealing with banks, could be an interesting service.

Bitcoin is just some aditional system / asset banks ca use

they are only afraid of getting tainted by the mass of scams you can debunk - US regulators are just too slow  / fuzzy - I wonder why ?

Cause xrp / eth / ico scammers keep them busy ?

Today bitcoin is one of the most profitable and fastest ways of earnings and many people now are trying to use this to avoid getting too much tax and also they want to lessen the transaction fees and today @OP there are a lot of countries now are accepting the banking system of the bitcoin and some of this country now are already make an ATM tell that they are supporting this kind of currency if this kind of transaction will be accepted into another country there is a big chance it will accept to the nearest counties supporting the use of the bitcoin too. But I think the government now will start to go with the bitcoin and they will use this to limits the transactions.

Banks will not go bankrupt considering the length of your time that Fiat has a presence, considering whether Bitcoin is working admirably today. Traditional cash is hard to beat banks like this. Individuals need their cash to be confirmed by a centralized company. Furthermore, to realize that Bitcoin can be a decentralized thing, there are still people who are afraid to use it. However, there are some banks that have found Bitcoin beneficial and have now joined the block-chain where we will buy Bitcoin to them.

Then again we can understand overall that Bitcoin is completely regulated and banks certainly were not. There is a need to be prepared for any danger to lose speculation with BTC.

I don't see that the bitcoin can killed the banking system because still many people will use the banking system because they are more familiar on it than other system so it would be better if we stop by there. Maybe there would be a chance that thr old banking system will be killed if they will not follow the continuously upgrading of the system meaning if they will still use the old banking system then probably bitcoin will killed them...

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It is not easy for Bitcoin to challenge banks because the state system used still uses banking as a reference to control finances, indeed this has become one of the main problems where bitcoin cannot be legalized by the banking system, but when it does happen there is a high possibility that bitcoin could become a revolution the best finance in the future, even though it also takes a long time.

BTC can't kill the banking system,because the banking system could simply adopt it.
Inflation isn't so bad.It can help for further economic growth.Having money with decreasing value motivates all the people and businesses to work harder and make more money.If the value of all money was constantly going up,all the people would simply wait and hold their money,instead of spending them.
I don't think the banks are afraid of BTC.Anyway,this topic has been discussed 1000 times on the forum.
There's no point of asking the same questions again and again.

We don't really know that, we are just ordinary citizen unless you are from the government?, Yes they are supposed to do that to run our government efficiently but you can't deny the fact that there are some corrupt governments with hidden anomalies and stealing the money of its people. Just like what I say it is just a hunch but it is possible.

Even despite some of the advantages of bitcoin, the banking system would continue to exist even if it had not adopted blockchain technology and cryptocurrency. Cryptocurrency and the banking system generally perform different functions. In banks, these functions are much wider. In addition, the banking system is under the reliable protection of states and they would not allow it to die, even if cryptocurrency posed such a threat to it. However, bitcoin and other cryptocurrencies do not affect the banking system so much as to fear for its existence. At the same time, banks fully accept blockchain technology, as evidenced by its use of the ripple network and the planning of the release of its national stable coin by many states. Banks and cryptocurrencies will exist in parallel with each other.

It's worthy to note that there are two types of inflation, namely price and monetary inflation. While Bitcoin cannot suffer in monetary inflation, which is the inflation caused by limited supply, it can still suffer in price inflation.

Goods and services can be priced higher when the demand is low, and vice versa. Mainly known as volatility in the market.

Banks are undergoing lots of procedures and they can't just invest your funds but different companies are borrowing it for investment. In simple terms, banks helps the economy have the money circulating that is needed by the entire country. Imagine if there is not regulation with the money, how could government run efficiently? Majority of the projects or almost the entire projects of government are run by taxes and what makes it possible is because of banks.

Though, the downside of it is the total regulation of the money, leaving people out of control to their savings.