There have been several Bitcoin banks. They've either been scams or they've been hacked.
I'd like to see a Bitcoin broker/dealer that was registered as a broker/dealer in a major country, with audits and customer insurance.
Topic: There is a need for a Bitcoin Bank (Read 5730 times)
I think you are confusing dissent with censorship. I may disagree with what you say, but I will fight to my death, for your right to say it.
You're missing the point, that being: free speech has proven itself ineffective in stopping enterprising youngsters from parting bitcoiners from the coins they love. Fact.
Censorship is not the issue here, so please don't fight to the death for my right to say shit that falls on deaf ears.
Oh! Right then. LOL Anything else I can fight to the death for then? Just feeling a wee tad gladiatorial tonight.
I think you are confusing dissent with censorship. I may disagree with what you say, but I will fight to my death, for your right to say it.
You're missing the point, that being: free speech has proven itself ineffective in stopping enterprising youngsters from parting bitcoiners from the coins they love. Fact.
Censorship is not the issue here, so please don't fight to the death for my right to say shit that falls on deaf ears.
I think you are confusing dissent with censorship. I may disagree with what you say, but I will fight to my death, for your right to say it.
I disagree.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
The problem is that some people can't be bothered to protect their own wallet and want someone else to do it, for those people the idea of a bank may be a better idea, the solution is not that their should be a bank but how can we design one that isn't evil
What a shame huh? People can't be fucked doing the minimum required to take responsibility for their own interests. Naturally there will be greedy operators willing to exploit their laziness. Bitcoin makes banks redundant and that is good. You can never underestimate the value of decentralization. Going back to a new central service every time a little invonvinience crops up is foolish and lazy. Let them try to create bitcoin banks though; let them try to invoke primitive technology as innovative solutions. People will get burned for no good reason, other than their own laziness.
Nobody said a fool and their bitcoin could never be parted. Any kind of central authority/service is the wrong kind of solution because it tries solving the wrong problem. Better that we have education facilities and tools that make security more intuitive while helping people to understand the need to take responsiblity in free-speech, democracy, safe sex, recycling/environment and yes, personal security (including by trying mitigate the risks borne of using centralised services to defer our responsibility.)
In summary, the market you have identified, is not in banking, but rather in security tools and education.
Judging from the history of bitcoin investing, from Pirateat40 to Labcoin & friends, free speech isn't very effective -- it gets labeled as FUD & shouted down, and the enlightened money-rebels continue to ... "invest." Without lube or condoms.
Edit: For further edification, please visit https://inputs.io/
I disagree.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
The problem is that some people can't be bothered to protect their own wallet and want someone else to do it, for those people the idea of a bank may be a better idea, the solution is not that their should be a bank but how can we design one that isn't evil
What a shame huh? People can't be fucked doing the minimum required to take responsibility for their own interests. Naturally there will be greedy operators willing to exploit their laziness. Bitcoin makes banks redundant and that is good. You can never underestimate the value of decentralization. Going back to a new central service every time a little invonvinience crops up is foolish and lazy. Let them try to create bitcoin banks though; let them try to invoke primitive technology as innovative solutions. People will get burned for no good reason, other than their own laziness.
Nobody said a fool and their bitcoin could never be parted. Any kind of central authority/service is the wrong kind of solution because it tries solving the wrong problem. Better that we have education facilities and tools that make security more intuitive while helping people to understand the need to take responsiblity in free-speech, democracy, safe sex, recycling/environment and yes, personal security (including by trying mitigate the risks borne of using centralised services to defer our responsibility.)
In summary, the market you have identified, is not in banking, but rather in security tools and education.
Bitcoin presents ways for users to be WAY more clever and market responsive than archaic and scoleric traditional banks will ever adapt in to. Just look at mcxnow, etc ... Just one more reason why btc will replace banking anyways; just look how banks fail more than half of humanity as being completely useless !!!!! :
http://finance.yahoo.com/blogs/daily-ticker/cell-phones-transforming-world-microfinance-132554814.html
http://finance.yahoo.com/blogs/daily-ticker/cell-phones-transforming-world-microfinance-132554814.html
You don't want bank to freeze your account if you are doing something illegal like gambling and stuff...
Oh my god. I'm talking about a bank for use as a market maker in Bitcoin credit markets. How will the ability to exchange credit give them the ability to freeze your account. Its not like just because a Bitcoin bank exists suddenly wallets don't work.
Sorry about disagreeing with you before -- you were right.
I guess most people here do think that a bank is just a place that stores your money, lets you write checks, and pays you interest for the privilege of providing that service.
No wonder most here think that banks are a scam. Banks like that *would* have to print money to be able to pay interest on deposits, pay rent & salaries -- where else would the money come from, amiright?
You don't want bank to freeze your account if you are doing something illegal like gambling and stuff...
Oh my god. I'm talking about a bank for use as a market maker in Bitcoin credit markets. How will the ability to exchange credit give them the ability to freeze your account. Its not like just because a Bitcoin bank exists suddenly wallets don't work.
You don't want bank to freeze your account if you are doing something illegal like gambling and stuff...
Bank reeks of centralisation which is something we should be wary of
Trouble is BTC forces us to take personal responsibility - many of us are not used to that - takes us out of our comfort zones
Trouble is BTC forces us to take personal responsibility - many of us are not used to that - takes us out of our comfort zones
Many of us are not used to digging ditches -- that's why we have ditch-diggers.
Many of us are not used to building cars -- that's why we have auto manufacturers.
Many of us are not used to doing surgery -- that's why we have surgeons.
Centralization starts kicking in as soon as life gets past single-cell organisms. Man, for instance, has brain cells that do braining, lung cells that do the lunging, and ass cells that do assing. All specialized, all centralized. Every thing more complex than mold works that way.
There is already a bank for Bitcoin, MCXNOW is one...
I disagree.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
The problem is that some people can't be bothered to protect their own wallet and want someone else to do it, for those people the idea of a bank may be a better idea, the solution is not that their should be a bank but how can we design one that isn't evil
There's a site called "[email protected]" that does this already.
I disagree.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Central banks aren't intrinsic to banking. There were once many independent banks, issuing their own currencies, loosely regulated by the states in US. They existed in parallel with the Banks of the United States & printed their own paper. Then the regulations were loosened up, and banks started failing.
OP has a valid point -- banks are needed to fund large projects like building ... really big things. It's pretty inconvenient to have to crowd-source everything. Having to solicit funds from the great unwashed stymies industry (which may or may not be a bad thing).
To raise capital without banks, one needs to be a great salesman on top of being a great builder/entrepreneur/warmonger etc., etc.
If you want, a bank is just a local loan shark -- who pays you interest when you lend him money, and lends out your money at a higher interest.
He's pretty much a bare-bones full-reserve bank.
Personally I think we need a bitcoin bank for the majority of people with little or no system security knowledge.
Bank as in safely secures my deposits and perhaps something like FDIC for deposits.
Bank as in safely secures my deposits and perhaps something like FDIC for deposits.
FDIC on deposits? So basically just take your bitcoins, transfer them to FIAT, and you get those features today. Bank are not safe, they are just keep a very small amount of money in the vault and risk all your other savings by loaning or investing in stocks/ businesses. You can do the same thing for your self, put 90% in an online wallet, and invest it. Put 10% on a paper wallet. There you are now a bank.
Not good enough for 99% of the rest of world, you and I are IT people most are not and don't have the first clue about system security and wouldn't feel comfortable doing so anyway.
I disagree.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Bitcoin "bank" implies centralization in my view. Centralization implies single-point of failure which implies regulation etc etc etc.
Bitcoin enables you to be your own central bank and to protect your own net worth without it being someone else's counter-party risk.
Personally I think we need a bitcoin bank for the majority of people with little or no system security knowledge.
Bank as in safely secures my deposits and perhaps something like FDIC for deposits.
Bank as in safely secures my deposits and perhaps something like FDIC for deposits.
...
You guys seem to entirely ignore all facets of Banking other than store of value, which clearly Bitcoin obsoletes, even though I didn't even mention that outdated form of banking in the OP and was specifically talking about banking as an investment to allow a real credit market to exist.
You guys seem to entirely ignore all facets of Banking other than store of value, which clearly Bitcoin obsoletes, even though I didn't even mention that outdated form of banking in the OP and was specifically talking about banking as an investment to allow a real credit market to exist.
Have you read the four posts directly above yours?
Quite the contrary. We're discussing banks as lending institutions, which have been with bitcoin for quite a while. Pirateat40 presented his scheme as a bank, which, like all other banks, didn't simply "put coin in the vault for safekeeping," but *invested* the money or *loaned* it at a higher rate of interest. Simple. Edit: Unless the bank does *something* with deposit money, it can't afford to pay interest now, can it?
So yeah, banks as sources of credit are addressed, and shown to be (thus far) sources of much moaning and gnashing of teeth in the world of bitcoin. I even offered a plausible p2p fractional reserve lending insurance scheme
Edit: The Lending sub-forum, where usury and theft are pitted against each other in an eternal battle of greedz, is a fine example of banking every enterprising young fellow could do in his spare time.
...
You guys seem to entirely ignore all facets of Banking other than store of value, which clearly Bitcoin obsoletes, even though I didn't even mention that outdated form of banking in the OP and was specifically talking about banking as an investment to allow a real credit market to exist.
You guys seem to entirely ignore all facets of Banking other than store of value, which clearly Bitcoin obsoletes, even though I didn't even mention that outdated form of banking in the OP and was specifically talking about banking as an investment to allow a real credit market to exist.
Have you read the four posts directly above yours?
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