Topic: Will "De-Fi" replace traditional banking in the future? (Read 1025 times)

I fully believe that DeFi will one day take on that position as a traditional banking process. Because of the way DeFi  is providing banking facilities and accelerating the transition rate at a large rate. In more detail Decentralized Finance is a newly added system where overall trading is the name of faith.

I don't think that DeFi will completely replace traditional banking in the future but it may take part of the market. common users will benefit from competition between these two financial spheres.

Well, "De-Fi" is far from replacing banks anytime soon. The tech is still not mature enough for mainstream use. Even if it were, "De-Fi" won't be able to catch up with banks due to its limited adoption in the mainstream world. Banks are too powerful to go away even with the inception of crypto/Blockchain tech. As they get closer to adopt this revolutionary technology, "Ce-Fi" (centralized finance) will become bigger and stronger than ever. Because of this, I believe that "De-Fi" will only remain as an alternative than a replacement to traditional banks. I wouldn't worry about this as long as "De-Fi" works as intended. It's all about providing banking services to the "unbanked" people in a decentralized manner. "De-Fi" achieves exactly this by eliminating the middleman from the system. It may have its caveats, but it's bound to improve over time as the Blockchain space matures.

Nonetheless, there's no denying that "De-Fi" replacing banks is a dream. The only way it will become a reality is if central banks collapse in their entirety. But knowing that governments heavily patronize these financial institutions, it's very unlikely it'll happen anytime soon. Instead of focusing on replacing banks, let's work together in order to make crypto land a better place. As long as people have an alternative or "exit route" from the current monetary system, nothing else matters. Just my opinion

yes heard about them, they are baked by a public company and as i know they have nice returns for LPs

btw recently found an interesting stablecoin exchange - xsigma, did you know smth about it ?

Well, DeFi can't replace traditional banks, but it will definitely eat their lunch in many areas.

With so many defi getting hacked news I think not, however there are lots of room for improvements so time will definitely tell

totally agree with you, i'm also believe in defi, it's more credible concept than ieo and ico. i prefer to invest in dex-es, i believe they will be next to centralized exchanges

Before we talk about supplanting the conventional monetary system let them begin being operational and really give this such a huge amount of discussed decentralize monetary operation to individuals, let individuals utilize the administration and maybe give a positive review, since all I see for the present is simply hype and price pump, no down to earth utilization for the time being which will be the central issue to be viewed before any further discuss substitution

i have real doubts that defi could replace traditional bankunbg system at least because defi is definately other concept and will face a lot of transformations in future. as for now i'm using defi as an investment toll with nice returns

Sadly, this is the case with new trends in the mainstream world. Scammers quickly take advantage of the situation in order to run away with people's money. This damages the reputation of "De-Fi" as we speak. The decentralized nature of crypto/Blockchain tech allows anyone to do what they want without prosecution by a central authority (sort of). With "Ce-Fi" (centralized finance), that's not the case since the industry is largely regulated by mainstream governments. It's evident that scams are less frequent here on "Ce-Fi" than on "De-Fi". As long as this is the case, "De-Fi" will only remain as an alternative than a replacement of traditional banking.

Nonetheless, it seems to me that "De-Fi" will find its own place in the mainstream world. People who are unbanked will most likely resort to "De-Fi". This emerging industry provides many benefits that are too hard to ignore. With the use of stablecoins, the possibilities are endless. Lending or borrowing in a decentralized manner proves to be extremely convenient for everyday people. Yet, "Ce-Fi" provides greater outreach due to its widespread adoption in the mainstream world. For different purposes and/or needs, will be the type of platform to use (either centralized or decentralized) for banking services. As long as "De-Fi" remains decentralized, nothing else matters. Just my thoughts

I think that's all De-Fi in the future they cannot compete with banks as they simply have more power and are supported by governments. So I think that it will not get very much popularity only and banks moreover do not stand still.

Thats the risk of storing your funds in bank. Such scenario is possible to happen and worse is you'll be having a hard time taking your money back and it might take a long period.

On the other side Defi (just like the uses of crypto) has a chance to take over but only to those who believe in this system. For people who used to bank this can be hard to grasp specially if they're not open for the new technology. Thus they might still chose the traditional way to store their assets.

How sure are you that all De-Fi are not?  I really like the idea of De-Fi, but the problem is that, it can be easily exploit by the founder himself , if his intention in creating it is ill.  Let us be in reality here, De-Fi as far as I know is created to be an alternative for banking and not to replace it.  Aside from that, authorities will never allow such uncontrolled system to replace the one they have a full grasp.

That's a problem with corruption, there's no guarantee that Defi can or will solve that. How many of these ICOs and new tokens will rugpull in the coming weeks/months?

I am not saying it will replace banking, but still there is a chance, because banking system is so fake. In my country there is person who put 2million dollar in his account and suddenly its dissappear because the fund is stollen by bankers. And when that things happen you will not get your fund fast. It will going through lawsuit or something. Takes time to get your fund.

Doubt. De-Fi even as of now already fading out its hype, replacing traditional banking is not an easy feat and even thjere's numerous attempt of highly innovative platform trying to replace our traditional banking and most of them fail.
People already used to how the bank works and most of them aren't really welcoming to new things as it's involving their money.

Bank also still frequently used to buy or sell crypto and that alone already make it relevant enough to keep existing for centuries despite crypto rapid growth.

I highly doubt there will be a future where the average person will directly interact with Defi, people are scared of new things and many will like to see a human face when signing up for a 20 year mortgage or business loan. Not to mention that people like banks because banks offer stability

For most it is true as it is basically a pump and dump scheme for most projects and now everyone is renaming their project as Defi projects as they know it has become a catchy name to attract the investors and many of the dead ICO projects are renaming their project name and adding Defi and relaunching them again and i have seen a few projects like that.

Defi nor cryptocurrency market is replacing traditional banking .

I don't think so because they will just take the concept, like digital fiat money that has started to take effect in several countries around the world. but who knows, maybe crypto will become big and be used later in the future. if that's the case then defi will take over.