Topic: Conventional Banking and Blockchain Technology (Read 198 times)

I think that some advanced banks are already using blockchain technologies, only they use a closed blockchain, created in accordance with parameters necessary for them.

I like it the more conveniently I do things especially when you want to sent money to your love ones on different parts of the place, Country, Or the world and for this I think bitcoin is the most fast than with conventional banking with fees that are not so high or sometimes there os no fee at all, while in remittance centers you will surely pay decent amount to transfer money, Well I think the idea of this kind of thing with banking has been copy with the blockchain technology.

It's a general fact that something good has to pass through difficulties to come out better. Thus I am not too worried about the whole incidence with SEC. BITCOIN has always been very efficient and effective in changing the way banking system operates in order to increase transaction time frame, trust and security. Bitcoin is here to cause a drastic change in the financial world.

Since the beginning of the emergence of Bitcoin, it has indeed been predicted that its benefits for humanity's life today. although it's not easy on Bitcoin trips, but for now bitcoin has become a center of transaction technology throughout the world, this has proven the performance of Bitcoin for many years.

The thing that fascinate me most about blockchain technology is making an international financial transactions without restriction, with low transaction cost and without third party interference. Blockchain technology restores privacy when it comes to financial transactions.

It very natural and the part of human psychology that they has the habit of saving money for their future generations as for the sake of welfare for them as we all know that earlier people invest into gold and I guess, this is the most popular kind of investment till now then slowly slowly they move towards the stock investment but the profit ratio in stocks is very low then the bank investment is the most successful investment till date but now we can can that slowly slowly people are getting the fate and potential of bitcoin and moving towards it and Blockchain technology is now considered as the superior of all the investment.

From the very ancient time, people has the habit of saving money for their budding generations as the welfare of them , earlier they used to invest into gold , it is the most conventional and the most successful investment method and then comes the investing into stocks and now the most successful investment method is bank investment, now people are saving their money in the banks but the Blockchain technology is the superior of all these investment and I guess is the future investment of the time.

Interconnected blockchains can be a thing of the future in the banking and finance industry. It can also be used by governments for storing information that oftentimes need a lot of time and resources to pull up. With this interconnected blockchains, time and money would be saved, plus it will give more transparency and credibility to whatever it is in the ledger since everyone contributed, everyone knows who contributed and everyone knows when something was added, so the openness factor of such a system saves everyone a ton of things.

Yes, blockchain technology can prove very helpful in conventional banking systems. I would like to add one more important use of blockchain in banking, which is to meet KYC norms. We all know these norms aim to eliminate money laundering and terrorist activities. With blockchain technology one bank can access the verification of clients of other bank. So they can save huge amount of money.

Bitcoin was introduced before a decade and since then bitcoin has made its existence and made its name and became so successful and popular among millions of people and convinced them to invest into bitcoin as we all know that there are other ways through which people invest their money like in gold or in banks or in stocks but the bitcoin investment is now considered as the most beneficial and the profitable one and now bitcoin technology is considered as superior above all the investment.

Good text, well explanatory. I believe that the best feature for a quick understanding of Blockchain is decentralized verification. When you have an account at the bank, it means the bank has full control and sends you information about your balance.

In Bitcoin this one-handed control does not exist. Each party must be independent and the consensus responsible for such checks.

One of the most significant threats towards the banking field today is technology. Technology is imminent in Bitcoin ATMs as well. You may think that it is coming from big technology companies such as Search engines Inc. (GOOG), Apple Inc. (AAPL), eBay Inc. (EBAY) or even Amazon. Inc. (AMZN), or through new monetary technology (FinTech) start-ups. . In today’s time a serious problem for financial industry or the banking sector is from blockchain technology – the tamper-proof system which underlies in most cryptocurrencies such as Bitcoin, Litecoin and Ethereum that users can buy from any Bitcoin ATM or online exchanges. Large banking institutions, from investment decision to stock trades to banks, are all starting to work on their very own blockchain-based options to stay in the loop of this development.

Transfers and Remittances

The most popular type of use of blockchain technology is as a transfer system. Bitcoin and other cryptocurrencies act as electronic money and a method to post payments as money-form across the globe. These purchases require an exclusive internet connection that can transfer money instantly. Though it is true, it can take a lot of time to get a transaction to be 100% examined thoroughly. The transfer itself takes place only in few moments. These deals are limitless and entirely secure. Furthermore, contract costs will be minimal, that could be just a few cents per transaction making it a lot cheaper process to send capital around the world. Especially if you compare with providers like Western Union (WU) or by credit cards processor chips such as Passport Inc. (V), Mastercard Inc. (MA) or perhaps Discover Personal Services (DFS). A seller not wanting to pay for the initial ongoing costs of credit cards can take electronic transactions via a cryptocurrency of Bitcoin ATMs. Remittance overseas is usually a problematic factor while execution.

Deposit of Funds and Checking Account Balances

Customers make use of banks to keep deposits within checking and also savings trading accounts, but when you deposit cash into a banking account, the bank provides financial loan through the local monetary reserve. As a result, the majority of the money shows up whenever you view your account balance is not indeed held by the bank. A financial institution instructs the bank to stop when a lot of customers try to withdraw their cash all at the same time, and also the money is not there. The bank account stability, therefore, is merely a sales entry. The technology backing most Bitcoin ATMs is ultimately the ledger that will represent entries. For that reason bank accounts might come to be symbolized on blockchain making them better, accessible along with being cheap. Furthermore, it might help to eliminate different types of risks.

Principal Market Issuance and IPOs

If secondary market stock trading can perform for blockchains, could it impact primary as well? The answer is sure. Imagine you are a company aiming to raise investment via giving new dispenses to general population via an IPO. Right now, this would be an incredibly expensive task requiring a significant investment bank that will underwrite your stocks. This phenomenon can charge as much as 9% or more on the capital currently being raised. At this point, imagine that you may issue stock shares of your firm by yourself instantly to the blockchain where you can subsequently sell these to people in exchange for cash. These electronic shares then can be exchanged in secondary real estate markets that likewise exist by using the technology backing Bitcoin ATMs. If this predicament becomes acknowledged by the people, it could be both advantageous and big disrupter for consumers and banking industry.

Conclusion

It has become apparent that this blockchain technological know-how has much more to offer as in comparison with Bitcoins from Bitcoin ATMs as well as cryptocurrencies. Even though those implementations and income systems are disruptive, higher quality service can come from using this unique and potent tool properly.

Original article posted on: https://forum.bitcoin.com/bitcoin-discussion/conventional-banking-and-blockchain-technology-t96038.html