It's still hard to live without banks because until now, people are dependent on it and with fiat. Also, the fact that the government won't allow removing the bank and paper money. The bank plays an important role in the economy, it's not just about printing and making paper money. As long as people are receiving and making transactions using paper money, banks will be there. Even with cards, they are the one who is decreasing your money when you buy things using your card.
If everyone will be using decentralized crypto for every transaction, then I think it will be possible to live without banks. But the idea of decentralized crypto as the main currency is still quite impossible to happen.
Topic: Is it possible to live without banks? - page 32. (Read 7813 times)
If people decide to use crypto, precious metals, and physical cash, will it be possible to live a normal life without a bank?
Again physical money? What about living with cryptos and precious metals alone? I mean if you hold or depend on physical cash then that means you are still living a life with traditional banks; no big differences.There are 2 possibilities about living without banks:
1. Only you and me hold and use cryptos whereas most other people yet to adopt cryptos but there are widely available exchanges which help to pay and get paid in cryptos to the people not yet making use of cryptos.
2. When everything available for cryptos then everyone may start living without the need of banks. A purely decentralized economy.
I guess we are going to enter into the first possibilities and will be sticking there for a while until the second one gets ready!
In my opinion it is impossible to live without banks,Banking industry serves a big help to many people even if their services sometimes are not good. Living without banks is only possible if you don’t need their services since a lot of financial apps where you can use as an alternative and cryptocurrency as well which is slowly growing, living without banks will also depend on a country you’re living. There are still a lot of people who really believes that it is far safe to keep your money there, we all know that banks have been part of our lives for centuries know. So it will be very difficult for them to adjust and simply adapt crypto in their lives. especially since not all countries have legalized crypto. For me the presence of crypto is not to turn off the bank. But only as an alternative payment, so bank or fiat collaborate with crypto.
Without any kind of bank? Not just the current form of bank that we all know? I really doubt it.
There should be no doubt. It will be difficult for every one if we don't have banks that regulate or control the money flow.If you are referring to the many powerful and rich banks around us, they do not regulate nor control the money flow. They are just receiving orders from the central banks.
For now, I cannot live without banks. I cannot even live with crypto alone.
Just think if we don't have banks, you'll see more crimes related to theft lol.Probably, yes. Safekeeping, especially long term, is precisely one of the main reasons why, at least for me, banks still have relevance until now. Not to mention their financing capacity and role.
It's possible for banks to start losing relevance as we transition into a cashless society, it all depends on which currencies crash and burn first though.
With the world's economy collapsing, people are looking for alternative safe-haven assets to use in times of turmoil. Interest in crypto has sparked a lot ever since the stock market went on a decline. If people decide to use crypto, precious metals, and physical cash, will it be possible to live a normal life without a bank?
In my case, I'd be willing to exit the banking system in order to have true sovereignty over my money. After all, that's what crypto is all about. If you could live your normal life without the need to ever interact with a bank (having a bank account to make transactions, etc), it'll be a blast. With the world shifting towards the online realm for e-commerce, virtual meetings, and more, it seems likely that people will be using decentralized money more thoroughly. There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
In my case, I'd be willing to exit the banking system in order to have true sovereignty over my money. After all, that's what crypto is all about. If you could live your normal life without the need to ever interact with a bank (having a bank account to make transactions, etc), it'll be a blast. With the world shifting towards the online realm for e-commerce, virtual meetings, and more, it seems likely that people will be using decentralized money more thoroughly. There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
Right now? Probably not, Banks are too widespread and many people still favor them. You'll need some sort of banking if you still want to deal with the "regular world", so to speak. But this is changing, I wouldn't be surprised if in the future we finally move over this dated and stupid system. But that could be wishful thinking from my side. That's what I hope for anyway.
Lots of people don't use banks.
I hugely doubt...I haven't had a bank account in years. I've only had a credit card for a few years now. Before that I went years with neither bank account nor credit card. I keep my savings secure in Bitcoin and earn all my revenues and make all my payments and purchases in cash.
If you own credit card, you are in touch with bank, right? Or do you mean xapo and similar wallets? If yes, then such services belongs to banks too at some point. I wrote very small info about functions of bank above: https://bitcointalksearch.org/topic/m.54486394Where I am now, waiting out the covid-19 scare in a remote village in the Mexican jungle, absolutely no one uses banks. No one has a bank account nor receives nor writes checks. In fact there are no banks nor ATMs. The nearest bank is almost an hour's drive away. I now own 6 properties here, including 3 houses, and all were bought with cash, except my first one which was bought partially with Bitcoin.
It's not right to discuss only from personal visions and examples cause they are hugely different from others. If you aren't getting ill for example, doesn't mean that illness doesn't exist.When you want to start a business and need some money, what to do? If you need loan but everyone around you is poor, what to do? What to do when you have a lot of money and there are some people who need it? What about if there is something that offers you additional interest on it while benefiting borrower and taking all these risks of loan repayments on their own? I guess that's not a bad deal. There are other things why banks are bad.
In my opinion it is impossible to live without banks, especially since not all countries have legalized crypto. For me the presence of crypto
is not to turn off the bank. But only as an alternative payment, so bank or fiat collaborate with crypto. For example in my country it is
impossible live without a bank, because crypto is prohibited as payment. Then I had difficulty buying the necessities of everyday life with
crypto. Because the number of merchants that accept payments by crypto is still limited.
is not to turn off the bank. But only as an alternative payment, so bank or fiat collaborate with crypto. For example in my country it is
impossible live without a bank, because crypto is prohibited as payment. Then I had difficulty buying the necessities of everyday life with
crypto. Because the number of merchants that accept payments by crypto is still limited.
Currently, if a person is looking to borrow money and try to use a lending platform such as Nex.io, Celsius, or any others he needs collateral.
True, the current DeFi lending services aren't for people who need crypto without already owning some. It's simply a different type of service. In a totally decentralized way, I can't imagine a DeFi service without collateral. But at the other hand, there is a method that can be used for crowdfunding, at least for companies: ICOs. They could be described as a special case of P2P lending.Using a P2P lending platform still has problems. I don't see random individuals ready to lend money to the first foreigner coming without knowing him etc. That's how it worked on BTCJam and see yourself how the story finished.
That's what I meant with the part of my post where I argue that banks won't disappear even with massive crypto adoption, as they are the entities who most know about risk management. They can accept more types of collateral and securities than DeFi services could (as these depend on cryptocurrencies), like a house, or an income receipt. Loans will be, in my opinion, a service where banks and similar "financial service firms" will always have an overwhelming market share - at least until AI becomes that smart that we can automatize it, but I think this is very far away still (I think we agree here, actually).In reality, how would you see this structured (without a 3rd party), and especially how the lenders could be protected?
If I come to your door to tell you "I need 5 bitcoins, I will pay back later 0.5 BTC per month" I doubt you will say Yes
Here I was taking into account the DeFi services with collateral requirements that already exist. For someone who already owns cryptocurrencies and would lend it to another person who wants to use it for short selling activities and get some interest for it, it may work, but there is still the volatility risk.If I come to your door to tell you "I need 5 bitcoins, I will pay back later 0.5 BTC per month" I doubt you will say Yes
Are you referring to BitcoinSuisse? Just asking in case there is another country where it's possible to do it (I remember a state in the US too)
I know these services from South American and European countries. Examples:https://www.satoshitango.com/es-AR/ (Argentina)
https://www.servicrypto.com/ (Colombia)
https://www.bitpanda.com/en/payments (Germany and other Euro countries)
https://bity.com/de/products/crypto-online-bill-pay/ (for Euro/CHF)
Of course you could argue that they're "almost banks", and that these services also need full-fledged banks to work. This is however not a technical requirement - with more adoption/growth the service providers could accept their services directly without an intermediate bank.
Lots of people don't use banks.
I haven't had a bank account in years. I've only had a credit card for a few years now. Before that I went years with neither bank account nor credit card. I keep my savings secure in Bitcoin and earn all my revenues and make all my payments and purchases in cash.
Cash rules. I've never had cash bounce, get a stop-payment, require 3 pieces of signed ID, or put on hold for several business days. I've never had cash refused nor been charged interest nor service fees.
Whenever I've had to deal with a check, I've always been able to find someone to endorse it over to in lieu of a cash payment. Since I got a credit card, I usually sign it over to them. The only reason I got a credit card was to get a free t-shirt at the ballpark by filling out a questionnaire. I was shocked when they actually sent me one. I've since found it useful for purchasing air fares since Expedia stopped taking Bitcoin. It also helps because some hotels require it and it is useful for online purchases.
I pay my taxes and utilities with postal money orders if cash is too inconvenient. I live downtown in a big city so I can usually pay in cash directly. I usually pay my bills months at a time in advance and always keep a "negative balance" (meaning they owe me money) on my credit card.
____
Where I am now, waiting out the covid-19 scare in a remote village in the Mexican jungle, absolutely no one uses banks. No one has a bank account nor receives nor writes checks. In fact there are no banks nor ATMs. The nearest bank is almost an hour's drive away. I now own 6 properties here, including 3 houses, and all were bought with cash, except my first one which was bought partially with Bitcoin.
____
Screw the banks.
I haven't had a bank account in years. I've only had a credit card for a few years now. Before that I went years with neither bank account nor credit card. I keep my savings secure in Bitcoin and earn all my revenues and make all my payments and purchases in cash.
Cash rules. I've never had cash bounce, get a stop-payment, require 3 pieces of signed ID, or put on hold for several business days. I've never had cash refused nor been charged interest nor service fees.
Whenever I've had to deal with a check, I've always been able to find someone to endorse it over to in lieu of a cash payment. Since I got a credit card, I usually sign it over to them. The only reason I got a credit card was to get a free t-shirt at the ballpark by filling out a questionnaire. I was shocked when they actually sent me one. I've since found it useful for purchasing air fares since Expedia stopped taking Bitcoin. It also helps because some hotels require it and it is useful for online purchases.
I pay my taxes and utilities with postal money orders if cash is too inconvenient. I live downtown in a big city so I can usually pay in cash directly. I usually pay my bills months at a time in advance and always keep a "negative balance" (meaning they owe me money) on my credit card.
____
Where I am now, waiting out the covid-19 scare in a remote village in the Mexican jungle, absolutely no one uses banks. No one has a bank account nor receives nor writes checks. In fact there are no banks nor ATMs. The nearest bank is almost an hour's drive away. I now own 6 properties here, including 3 houses, and all were bought with cash, except my first one which was bought partially with Bitcoin.
____
Screw the banks.
Do we really want to live without banks tho? I mean I get it, you guys all seen how horrible banks could become and you think that banks should no longer exist and we should live in a world where banks are no longer needed as well. However we are forgetting one eternal truth, something is as bad as the people who manage it. So, banks could very well be used for awesome stuff, look at banks in countries that really cares about these kinds of stuff.
It is not a bank but I want to give an example, Mcdonalds in Norway actually provides healthcare payments, unionized worker hiring, paid leaves, maternal leaves and many other developed stuff for their workers and still profit from it, they do NONE of those in USA because they don't have to there and profit. As you can see a company can't have a soul, can't have a morality, they are just there to pump money.
So. if government of USA forces mcdonalds to be like the Norway solution, they would still profit, while everyone else would be happy too. Use this logic to banks, banks could exist, just make it a proper place and not just "I don't care if people die, I want profits" place and you will get good results.
It is not a bank but I want to give an example, Mcdonalds in Norway actually provides healthcare payments, unionized worker hiring, paid leaves, maternal leaves and many other developed stuff for their workers and still profit from it, they do NONE of those in USA because they don't have to there and profit. As you can see a company can't have a soul, can't have a morality, they are just there to pump money.
So. if government of USA forces mcdonalds to be like the Norway solution, they would still profit, while everyone else would be happy too. Use this logic to banks, banks could exist, just make it a proper place and not just "I don't care if people die, I want profits" place and you will get good results.
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If your means to live without banks here is we don't have an account in any banks, then I will say yes, we can live without banks. We can save the money in someplace without a bank interfere. I think that could be like what I watch on Fast Five which one rich person is saving all of his money in one big box in the police office. That rich person doesn't have an account in any bank. So I guess that someone can do that, and he can use one big box like in the movie to store all of his money.
But if we talk about crypto, I think we cannot do that because crypto needs approval from the government which is not all of the governments now approve. But it could happen in the future if the government see the chance for their people to change their life, and they can manage their own money besides using the banks.
But if we talk about crypto, I think we cannot do that because crypto needs approval from the government which is not all of the governments now approve. But it could happen in the future if the government see the chance for their people to change their life, and they can manage their own money besides using the banks.
With the world's economy collapsing, people are looking for alternative safe-haven assets to use in times of turmoil. Interest in crypto has sparked a lot ever since the stock market went on a decline. If people decide to use crypto, precious metals, and physical cash, will it be possible to live a normal life without a bank?
In my case, I'd be willing to exit the banking system in order to have true sovereignty over my money. After all, that's what crypto is all about. If you could live your normal life without the need to ever interact with a bank (having a bank account to make transactions, etc), it'll be a blast. With the world shifting towards the online realm for e-commerce, virtual meetings, and more, it seems likely that people will be using decentralized money more thoroughly. There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
Everything is possible, we can live without banks but our quality of life will decline a lot.In my case, I'd be willing to exit the banking system in order to have true sovereignty over my money. After all, that's what crypto is all about. If you could live your normal life without the need to ever interact with a bank (having a bank account to make transactions, etc), it'll be a blast. With the world shifting towards the online realm for e-commerce, virtual meetings, and more, it seems likely that people will be using decentralized money more thoroughly. There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
First of all, what are banks and why are they important?
Banks are source of money where there is supply that collects money from those who have a lot (or more than enough and don't know where to store it safely) and forwards on those who have deficit of it. Banks take all responsibility and risks that this action carries while giving benefits to both side: profit to lender and necessary money to borrower. This is one of the most important fuction of banking and as a resule of this, a lot of services, projects and in overall business was created and developed further.
On another hand, modern banking has too much necessary functions than it had before. Nowadays we use cards provided by them to make transaction in stores, markets and etc. We are able to buy things online securely via our cards and more. We are moving from cash to fiat as time goes and all of these actions strenghten our connection with banks, in overall we depend on banks more than ever.
Btw at the same time banks are our enemies too. What banks do is maximizing of their profits and increasing loan percentages, charging a lot of fees and more. This in overall makes a lot of money to go from people to bank, making people poor but banks - rich institutes. I guess that's not good at all. Another bad thing is how they use our transactions for marketing purposes, not only them but walmart, google and other companies but this is different task.
Without any kind of bank? Not just the current form of bank that we all know? I really doubt it.
There should be no doubt. It will be difficult for every one if we don't have banks that regulate or control the money flow.Rudimentary forms of banks could be traced back thousands and thousands of years ago. This early, even before the peak of the crypto age, we already have what are called crypto banks. So I don't think the banks will perish soon with the advent of crypto. It could transform, though, as it always has been. With our virtual currencies, we could very well see virtual banks as well.
As long as there will be currencies there will be banks to regulate it, why? coz the government need to do so. This is also answers the question of eliminating banks because we already have crypto, world won't work if we do it decentralized, that's why we keep adding these cryptocurrency to our financial structure. Visa for example added bitcoin on their payment method, but once bitcoin loses its value it will leave them no option but to drop it, see how risky to be decentralized?For now, I cannot live without banks. I cannot even live with crypto alone.
Just think if we don't have banks, you'll see more crimes related to theft lol.
I think banks are still very useful in the society and it will be very difficult to live without the banks. The only things that will happen is that the banks will work in new ways. Maybe the likes of blockchain and other wallets might be the new banks
With the world's economy collapsing, people are looking for alternative safe-haven assets to use in times of turmoil. Interest in crypto has sparked a lot ever since the stock market went on a decline. If people decide to use crypto, precious metals, and physical cash, will it be possible to live a normal life without a bank?
There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.
What are your thoughts?
It is wrong to assume that inflation makes fiat currency useless. Well, it may make one unit of fiat worth less than what it used to before, but still fiat will be widely used for valuing every goods or service which keeps currency relevant.
Only hyper-inflation makes currency irrelevant because general public lose the trust in the currency and no longer want to use that currency for the valuation of goods and services. But again, hyper-inflation is not global phenomena. You can't say every currency becomes hyper-inflated at the same time. It is not possible at all. Hyper-inflation is the comparative phenomena when economic situation in one country becomes excessively worse as compared to other nations. Then people in that country move on to foreign currencies rather than using local currency.
On whole, I don't see your argument strong enough to believe that fiat currency (as well as banks) going out of play any time soon.
PS: Money is not investment. Even if per unit value of fiat currency is decreasing and stock market is falling, provided if local currency is not experiencing excessive inflation, people will continue their faith in currency.
^ It is possible for everyone to live in a world without a bank as long as the technology that the government will use a high-end technology such as the blockchain technology that will provide a seamless transaction when it comes to financing. But it will be an advantage to everyone for bankless transactions will give us full control in all of our assets. Nevertheless, this dream may really happen in the future and intensive studies must take place first before implementing it for the people are not yet ready for a digital world.
LMAO nice joke mate! Sure, much seamless, 10th generation of blockchain needed! What happens if some entity manages to use/develop such remarkable technology? Do they become a bank?
^ It is possible for everyone to live in a world without a bank as long as the technology that the government will use a high-end technology such as the blockchain technology that will provide a seamless transaction when it comes to financing. But it will be an advantage to everyone for bankless transactions will give us full control in all of our assets. Nevertheless, this dream may really happen in the future and intensive studies must take place first before implementing it for the people are not yet ready for a digital world.
You should explain more what you mean by "banks."
Yes you don't have to use banks to save money, and to send/receive payments. However, businesses still need loans, therefore liquidity must be provided by some entity.
If you are just a worker, living alone, who lives from a monthly paycheck, you don't need a bank. Years ago I rarely touch my bank account, there is no internet yet, and I remember I don't have problems in my daily life. But after you have a family, you want to buy a house, etc., then you need to borrow from some entity. It sucks but I don't know how to create better system than this. It's like a love and hate relationship.
Yes you don't have to use banks to save money, and to send/receive payments. However, businesses still need loans, therefore liquidity must be provided by some entity.
If you are just a worker, living alone, who lives from a monthly paycheck, you don't need a bank. Years ago I rarely touch my bank account, there is no internet yet, and I remember I don't have problems in my daily life. But after you have a family, you want to buy a house, etc., then you need to borrow from some entity. It sucks but I don't know how to create better system than this. It's like a love and hate relationship.
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In theory this can be covered by Bitcoin P2P lending, or even by "Bitcoin banks". The main problem here is, however, volatility. If you borrow 1 BTC and just there is a Bitcoin rally, you'll have problems to pay it back. Thus, at this moment, the P2P lending market is not very developed (it exists mostly to provide capital to short sellers) and is not adequate for the "average Joe".Volatility is also a problem if you got your salary in BTC and don't want it to lose value if there is a crash. (For the volatility problem I'm reseaching for a solution "without" centralized providers, see here).
Right, I didn't even consider the volatility side but as for the Bitcoin lending industry, seeing how it's currently developed it won't really work.
Let me explain: Currently, if a person is looking to borrow money and try to use a lending platform such as Nex.io, Celsius, or any others he needs collateral. It's almost impossible for a company not yet launched to provide any, otherwise, there is no use to borrow money if the company already owns the funds. Better for the company to sell the collateral and start with it. But as I said companies rarely have collateral, they have perhaps 10% and a money machine idea.
Using a P2P lending platform still has problems. I don't see random individuals ready to lend money to the first foreigner coming without knowing him etc. That's how it worked on BTCJam and see yourself how the story finished.
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Also here ... Joe would have to lend Bitcoins to someone and he would get paid interest for that. But the volatility-related risks are still to high for "average Joes".In reality, how would you see this structured (without a 3rd party), and especially how the lenders could be protected?
If I come to your door to tell you "I need 5 bitcoins, I will pay back later 0.5 BTC per month" I doubt you will say Yes
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This depends heavily on the country you live. In my country I can pay almost all services with cryptocurrencies, but only via a third party payment processor company (which again, are not banks but also regulated and mostly have KYC/AML procedures).Are you referring to BitcoinSuisse? Just asking in case there is another country where it's possible to do it (I remember a state in the US too)
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