Topic: Will "De-Fi" beat Banks sometime in the future? - page 2. (Read 403 times)
It is difficult for Defi to beat a bank, nowadays people feel more secure in saving money in a bank than in one of Defi's projects, besides that banks have been implemented in everyday life, both in society and in the state.
We’re talking a lot of this already, cryptocurrency can’t replace banks totally and we all know we still need the banks for liquidity and I don’t see any country without a bank, government will not allow that to happen.
Yes, a lot of good things by using DeFi but not every is aware of this, we are still far from the mass adoption so this wont happen in the coming years but of course, I’m also open for this possibility even if it seems too impossible to happen.
There’s a lot of factors to be consider before this thing to happen, we might not be able to witness it because it takes time and maybe the next generation can have now the choice either to use fiat or crypto, they’ll work better at the same time. If that days come, hopefully cryptocurrency has been widely use and offers the same things just like the banks, especially the loan part of the banks.Yes, a lot of good things by using DeFi but not every is aware of this, we are still far from the mass adoption so this wont happen in the coming years but of course, I’m also open for this possibility even if it seems too impossible to happen.
The concept itself of DeFi is actually great but I don't think we will see this flourish and replace banks in our lifetime.
The current situation alone in DeFi market is quite vulnerable, hacking, inside job are just common issues in DeFi platforms.
So the trust of using DeFi platforms is still questionable to many. Besides only small percentage of global population are in crypto market.
This may be likely, will crypto beat fiat someday?
if it is about someday, we will not know because we don't know the future. We don't know what will happen 100 years later or 150 years later.
if it is about the current and near years, I think it is impossible for Defi to beat banks. Because Banks are such complicated systems from a country and also world bank. This is centralized. Countries and also world banks will never let this be beaten by DeFi.
if it is about someday, we will not know because we don't know the future. We don't know what will happen 100 years later or 150 years later.
if it is about the current and near years, I think it is impossible for Defi to beat banks. Because Banks are such complicated systems from a country and also world bank. This is centralized. Countries and also world banks will never let this be beaten by DeFi.
We’re talking a lot of this already, cryptocurrency can’t replace banks totally and we all know we still need the banks for liquidity and I don’t see any country without a bank, government will not allow that to happen.
Yes, a lot of good things by using DeFi but not every is aware of this, we are still far from the mass adoption so this wont happen in the coming years but of course, I’m also open for this possibility even if it seems too impossible to happen.
Yes, a lot of good things by using DeFi but not every is aware of this, we are still far from the mass adoption so this wont happen in the coming years but of course, I’m also open for this possibility even if it seems too impossible to happen.
Decentralized finance technology was created as a solution to the lack of public access to financial services, for example as follows:
-Some people do not have access to create bank accounts or use financial service products.
-There are fees charged to customers in utilizing financial services.
-There is a potential for misuse of data that can be done by financial services companies.
-Financial service companies are vulnerable to intervention by the government or regulators.
-Send sending money can run for a long time.
Financial service companies have never been transparent in providing customer data.
Because of these benefits, coupled with the security of a capable blockchain system, it is not surprising that many people say that DeFi can be a public financial solution in the future. Moreover, all financial service activities such as lending and borrowing, crowdfunding, and insurance can be carried out over the DeFi network.
https://blog.pluang.com/cerdascuan/investasi/decentralized-finance-masa-depan/
-Some people do not have access to create bank accounts or use financial service products.
-There are fees charged to customers in utilizing financial services.
-There is a potential for misuse of data that can be done by financial services companies.
-Financial service companies are vulnerable to intervention by the government or regulators.
-Send sending money can run for a long time.
Financial service companies have never been transparent in providing customer data.
Because of these benefits, coupled with the security of a capable blockchain system, it is not surprising that many people say that DeFi can be a public financial solution in the future. Moreover, all financial service activities such as lending and borrowing, crowdfunding, and insurance can be carried out over the DeFi network.
https://blog.pluang.com/cerdascuan/investasi/decentralized-finance-masa-depan/
Decentralized Finance ("De-Fi") is a new trend which has been gaining steam ever since the first smart contract platform (Ethereum) came into existence 6 years ago. Right now, it's possible to borrow, lend, and even trade crypto assets without the need for a middleman. The introduction of stablecoins brought us the stability of Fiat along with the convenience of crypto. People can have money in Fiat, without the need for a bank account and still earn interest by holding it. This brings complete financial freedom to the world (something that was never thought possible before the inception of Bitcoin and Ethereum).
Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
The very good development that they have prepared from the beginning before, this shows that the convenience of using crypto is getting better at this time and the crypto world is starting to offer a solution to people's concerns regarding the survival of the crypto world in the future.
De-Fi as a whole has an important role to play in doing all of this well, but due to the reach of the blockchain which is not yet able to accommodate or reach millions of people around the world, this does not allow De-Fi to replace or beat Banks in the long term, even as a threat yet. so meaningful for the continuity of the Bank or fiat currency.
DeFi of today No bit perhaps the improve futures ones.
The question is how often do we hear that banks get rob the way DeFi is been exploit everytime. The last one that happened about 600 million until the hacker realized he couldn't spend the fund and return it claiming that he was protecting the project, who does that?
Bilaxy exchange and liquid exchange was also hacked, now tell me how we are going to realize this revolution whe the environment is not that save for investors. We have lots of wall to build to protect everyone.
The question is how often do we hear that banks get rob the way DeFi is been exploit everytime. The last one that happened about 600 million until the hacker realized he couldn't spend the fund and return it claiming that he was protecting the project, who does that?
Bilaxy exchange and liquid exchange was also hacked, now tell me how we are going to realize this revolution whe the environment is not that save for investors. We have lots of wall to build to protect everyone.
For me, defi-projects have already replaced banks. If 2 years ago I deposited my money in a bank and got 0.1% in dollars, now I can deposit my crypto in different DEFIs and get much bigger interests even in stablecoins. So personally I strongly believe in the crypto industry and I hope that it can replace banks one day, as it is more reliable to trust technologies and blockchains than people who work in banks.
"De-Fi" rewards are quite attractive compared to banks' interest rates. But they're still struggling to reach mainstream adoption because of Blockchain tech's scalability bottlenecks. High fees and slow speeds makes "De-Fi" inferior to mainstream banks. No matter how far "De-Fi" will go, it'll never replace banks because of its decentralized and censorship-resistant design. Banks are endorsed by governments, which gives them a high level of trust among everyday people. In the US, banks are insured so your money is protected against undesired situations (hacks, theft) in real life. Not like crypto where you're solely responsible of protecting your funds. If you become a victim of a hack, there's no way to claim your money back. It's why I strongly believe "De-Fi" is far from replacing banks anytime soon. Things could change if "De-Fi" solves its underlying issues. Just my thoughts
I found another interesting article about DeFi, I think many people will be interested https://blockster.com/blockdesk/1424_square-is-building-a-defi-business-using-bitcoin
Yes, it only makes sense. The crypto revolution is happening right now and in the next 5-10 years it’s going to take over. Right now there are so many smart people, money, and etc in crypto and more are being drawn to it daily. Crypto helps the world in many ways and once the technology is better the whole world will start using it and most banks will be out of business. I think some of the financial structure will stay but most will be gone and replaced by defi. I think projects like NEAR, ETH, Sol and ADA are going to be huge in the near future.
Decentralized Finance ("De-Fi") is a new trend which has been gaining steam ever since the first smart contract platform (Ethereum) came into existence 6 years ago. Right now, it's possible to borrow, lend, and even trade crypto assets without the need for a middleman. The introduction of stablecoins brought us the stability of Fiat along with the convenience of crypto. People can have money in Fiat, without the need for a bank account and still earn interest by holding it. This brings complete financial freedom to the world (something that was never thought possible before the inception of Bitcoin and Ethereum).
Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
If anyone wants to use DeFi at scale it will need to be done on an L2 or sidechain like Aurora otherwise gas fees will make it unprofitable. Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
For me, defi-projects have already replaced banks. If 2 years ago I deposited my money in a bank and got 0.1% in dollars, now I can deposit my crypto in different DEFIs and get much bigger interests even in stablecoins. So personally I strongly believe in the crypto industry and I hope that it can replace banks one day, as it is more reliable to trust technologies and blockchains than people who work in banks.
The bank is something big, complicated, regulated, and also full of power, of course, it is under the government of a country, with many interests and significance from many parties.
Although nothing is predictable accurately and we will not know the future exactly, beating banks is something that is very difficult, even it si De-Fi or other types of crypto projects.
Although nothing is predictable accurately and we will not know the future exactly, beating banks is something that is very difficult, even it si De-Fi or other types of crypto projects.
The interests of the banking system, including taxes, management costs, and the cost of money, are now nearly zero or even negative, whereas the interests of the numerous sites are now almost zero or even negative. Defi can achieve 100% in exceptional circumstances, therefore there is no competition, platforms defi triumph over traditional banks, and more and more people select defi as their primary investment resource.
Are you sure about this? Decentralized Finance ("De-Fi") is a new trend which has been gaining steam ever since the first smart contract platform (Ethereum) came into existence 6 years ago. Right now, it's possible to borrow, lend, and even trade crypto assets without the need for a middleman. The introduction of stablecoins brought us the stability of Fiat along with the convenience of crypto. People can have money in Fiat, without the need for a bank account and still earn interest by holding it. This brings complete financial freedom to the world (something that was never thought possible before the inception of Bitcoin and Ethereum).
Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
Of course, not everything is reds and roses. "De-Fi" has its limitations since it's fairly new in the mainstream world. Blockchain is still unable to scale to millions or even billions of people worldwide, so the experience will not be the same as with Banks. Fortunately, scaling solutions are on the works with the hopes of putting an end to such issues. If all goes well, "De-Fi" might beat banks in the future. Everything will depend on mainstream adoption for this to succeed in the long run.
What do you think? Will "De-Fi" beat banks in the long term? Or is it still too early to tell? Do banks consider "De-Fi" as a threat to their existence? Your input will be greatly appreciated. Thanks in advance.
What do you consider as "beat"?
Maybe DeFi takes aways significant market shares from the traditional banking sector, but will DeFi make banking completely disappear? I severely doubt that. Not that I think there will still be grandmas and grandpas who need a bank in 70 years from now, but they are an industry that could theoretically be very agile. We are not talking about a single company here, but about the most powerful sector in the world. They might change the meaning of the word banking themselves, whatever their solution maybe if they feel threatened enough by crypto. The best they can do for now is to incorporate crypto and all the developments that are coming. I don't understand why they don't have crypto ATMs because they have all the KYC anyway? It would be awesome if you could just use your card, buy some Bitcoin and get a QR code printed out or an email that is encrypted or whatever. They have so many possibilities. Even if they took a cut like 1%, I am sure many would use it if they need it instantly.
I like the loan feature on the DeFi platform, currently the DeFi platform also accepts NFT as loan collateral. I like this feature, like banking in general, we no longer need to go to the bank office with documents such as land certificates, houses and cars for loans, but everything takes time and we will see the banking system is no longer used and users will love the features it has to offer
by DeFi
by DeFi
It is not impossible for Defi to replace the banks to some capacity in providing financial services for people in the future through the Blockchain, the problem i believe still lies in the global acceptance of cryptocurrency as a secure and trusted means of doing financial transactions. NFTs for example are good for people to use as assets for financial services and more innovations like this will increase Defi adoption.
To me, time will tell, because cryptocurrency revolves around risk and the bank is a set-up that operates on people confidence which is base on trust and limited risk, so the risk element is a barrier for defi to beat banks, but we never can tell what will happen, but for now, dont think so.
now the interests of the banking system including taxes, management costs, cost of money are practically zero or even negative, instead the interests of the various sites defi in rare cases can even reach more than 100% so there is no struggle, competition, platforms defi win over traditional banks and more and more users choose defi as their first investment resource
Defi are very vulnerable as it is, there are too many hacked cases surrounding the defi platform, the banking sector is a very strong place and has less risk as it is with the defi platform, before they can even dream of taking over the banking system they may have to work seriously on the weak security issues with them, people needs to know their funds are well properly protected, perhaps in the future when defi are more secured it is possible.
DeFi and cryptocurrencies will be more seriously regulated by governments and they will face with many barriers for their growth.
DeFi projects are not like Bitcoin. Their developers are publicly known and governments can catch them if they want. Bitcoin is an anonymous Satoshi Nakamoto that makes it different.
If governments can force Binance to do KYC on all customers, they can do the same or more serious things on DeFi projects. The latest KYC updates on Binance is a new warning that exchange wallet is not the safe wallet to use.
I don't like Binance with that update because they don't give customers time to withdraw money if they don't want to complete KYC. What do Binance think when they allow withdrawal but don't allow to cancel current orders? It's very shady rule.
DeFi projects are not like Bitcoin. Their developers are publicly known and governments can catch them if they want. Bitcoin is an anonymous Satoshi Nakamoto that makes it different.
If governments can force Binance to do KYC on all customers, they can do the same or more serious things on DeFi projects. The latest KYC updates on Binance is a new warning that exchange wallet is not the safe wallet to use.
I don't like Binance with that update because they don't give customers time to withdraw money if they don't want to complete KYC. What do Binance think when they allow withdrawal but don't allow to cancel current orders? It's very shady rule.
Regulations cannot be enforced on a truly-decentralized "De-Fi" platform. That's because everything relies on a distributed blockchain ledger instead of a central server. But we all know most (if not all) "De-Fi" platforms are not as decentralized as they claim to be. After all, most "De-Fi" platforms depend on centralized infrastructure (like centralized hosting, among many other things). If this keeps up, "De-Fi" might never replace banks in the future.
One thing for sure is that "De-Fi" is subject to the underlying Blockchain network's performance. A blockchain with low transaction capacity (like Ethereum) will raise fees and increase wait times to everyday people. "De-Fi" will not be able to compete with banks this way, since only the wealthy will be able to participate in the system. Fortunately, scaling technologies are being developed to help remediate the situation. Since "De-Fi" is still in its very beginnings, we're going to have to have some time until it matures enough to compete with mainstream banks. With how everything's been going so far, it seems that both "De-Fi" and banks will be here to stay for a very long time. Just my opinion
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