banks are under contract to use FIAT, so goodluck holding your breath for a bank to directly offer bitcoins themselves. at most, what you will see is a bitcoin ATM inside the bank, but the bank cashier wont process bitcoin and the bank wont hoard bitcoin.
as for paypal, bitcoin is a asset currency so i see no reason why paypal should not also accept another form of payment along side its current list of payment processors and currencies.
the benefit of bitcoin is that paypal does not need to pay mastercard/visa extra fee's paypal can just hoard the coins it receives and sell them to new customers. meaning they dont even need to pay coinbase/bitpay fee's, instead i think they will charge their own exchange fee
Topic: Why should Banks / PayPal / etc use Bitcoin instead of their own? - page 2. (Read 1422 times)
More specifically my question is this:
Banks don't care about decentralization. They only care about saving on expenses. Bitcoin is cheaper. But its also open source. What's stopping them from simply making their own bitcoin network without miners, and taking advantage of the cost savings? Giving themselves power over the code. The ability to customize it just for CHASE or BofA. The CEO of paypal said he bought bitcoin just to "see how it works". Maybe he wants to learn the ins and outs so they can make their own.
Obviously this has been discussed before. Bitcoins' unique trait is its mining. Its a powerful system. So here's the question: What is it about miners that is so necessary? Especially if the organization does not care about decentralized trust? And if mining is irrelevant to CHASE or Western Union, then what incentive do they have to use Bitcoin at all? Couldn't banks and PayPal just make their own non-mined version?
We need to understand something: Financial institutions see the value of "cryptocurrency".
Using an online ledger, created by anyone (not just Satoshi) to transfer value anywhere in the world for free.
Sounds a heck of a lot like Ripple doesn't it.
So they sit down to their first meeting.
The first comment out of the guys mouth is: "Lets get this going in our company"
Will anyone really say "We have to use Bitcoin"?
Why?
Banks don't care about decentralization. They only care about saving on expenses. Bitcoin is cheaper. But its also open source. What's stopping them from simply making their own bitcoin network without miners, and taking advantage of the cost savings? Giving themselves power over the code. The ability to customize it just for CHASE or BofA. The CEO of paypal said he bought bitcoin just to "see how it works". Maybe he wants to learn the ins and outs so they can make their own.
Obviously this has been discussed before. Bitcoins' unique trait is its mining. Its a powerful system. So here's the question: What is it about miners that is so necessary? Especially if the organization does not care about decentralized trust? And if mining is irrelevant to CHASE or Western Union, then what incentive do they have to use Bitcoin at all? Couldn't banks and PayPal just make their own non-mined version?
We need to understand something: Financial institutions see the value of "cryptocurrency".
Using an online ledger, created by anyone (not just Satoshi) to transfer value anywhere in the world for free.
Sounds a heck of a lot like Ripple doesn't it.
So they sit down to their first meeting.
The first comment out of the guys mouth is: "Lets get this going in our company"
Will anyone really say "We have to use Bitcoin"?
Why?
Trust. Would you really use Bank of America coin? Would anyone in this community?
More specifically my question is this:
Banks don't care about decentralization. They only care about saving on expenses. Bitcoin is cheaper. But its also open source. What's stopping them from simply making their own bitcoin network without miners, and taking advantage of the cost savings? Giving themselves power over the code. The ability to customize it just for CHASE or BofA. The CEO of paypal said he bought bitcoin just to "see how it works". Maybe he wants to learn the ins and outs so they can make their own.
Obviously this has been discussed before. Bitcoins' unique trait is its mining. Its a powerful system. So here's the question: What is it about miners that is so necessary? Especially if the organization does not care about decentralized trust? And if mining is irrelevant to CHASE or Western Union, then what incentive do they have to use Bitcoin at all? Couldn't banks and PayPal just make their own non-mined version?
We need to understand something: Financial institutions see the value of "cryptocurrency".
Using an online ledger, created by anyone (not just Satoshi) to transfer value anywhere in the world for free.
Sounds a heck of a lot like Ripple doesn't it.
So they sit down to their first meeting.
The first comment out of the guys mouth is: "Lets get this going in our company"
Will anyone really say "We have to use Bitcoin"?
Why?
Banks don't care about decentralization. They only care about saving on expenses. Bitcoin is cheaper. But its also open source. What's stopping them from simply making their own bitcoin network without miners, and taking advantage of the cost savings? Giving themselves power over the code. The ability to customize it just for CHASE or BofA. The CEO of paypal said he bought bitcoin just to "see how it works". Maybe he wants to learn the ins and outs so they can make their own.
Obviously this has been discussed before. Bitcoins' unique trait is its mining. Its a powerful system. So here's the question: What is it about miners that is so necessary? Especially if the organization does not care about decentralized trust? And if mining is irrelevant to CHASE or Western Union, then what incentive do they have to use Bitcoin at all? Couldn't banks and PayPal just make their own non-mined version?
We need to understand something: Financial institutions see the value of "cryptocurrency".
Using an online ledger, created by anyone (not just Satoshi) to transfer value anywhere in the world for free.
Sounds a heck of a lot like Ripple doesn't it.
So they sit down to their first meeting.
The first comment out of the guys mouth is: "Lets get this going in our company"
Will anyone really say "We have to use Bitcoin"?
Why?
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