Bitcoin Forum

I read at various posts here at forum that the banks hate bitcoin. In the most of posts is not specified that with the term "bank" is meaning the Central Banks or the commercial banks. I think that they mainly or almost totally mean the seconds.

If is this the meaning that they give to this term (bank) used by them in these posts I don't understand WHY those must hate bitcoin as a currency. Bitcoin is a currency which can be used only in internet. So cannot compete with the other fiat currencies. They have totally other main field of use. Much more profitable than the field in which act bitcoin. Then, the only thing when fiat money and bitcoin can compete are because both can be substituted with the debit/credit cards. But even here there is not competition. If bitcoin will be accepted by the banks they will have more customers and more money. Will have even the customers of bitcoin. In other words will have they which use the fiat money plus they which use bitcoin. More customers mean more profit. There will be more credit/debit card in use for such bank.

Even there must be transfer of customers from fiat money to bitcoin it will be the same for the such banks. They don't lose nothing. Will have the same that customer which will not use credit/debit card with fiat money but with bitcoin. As about the fees they are in the "hands" of the banks and they can decide what fees fit to those.

There is nothing to do here the fact that bitcoin is a decentralized currency and the fiat money is a centralized one. This have nothing to do with the activity of the commercial bank. They work of the money. Whatever money it is and whatever it is the owner or if have no owner. For they is important that is MONEY. And bitcoin is.

So, who can explain me why the commercial banks must hate, don't use and even fight bitcoin as a currency, as I read in numerous posts here in bitcointalk?

Thanks for the comment. Then no one correct no one here. Everyone has its ideas and is free to express those. Very shortly:

1. If bitcoin compete with fiat the customer will remain the same with the bank. Explanation of this is in my main post. Then no loss if customer stay. You cannot be anonymous if you will use the bank so your second sentence have no sense. Third sentense same explanation with the first.
2. If bitcoin will be regulated it will be not more possibility to avoid nothing legit. Or better it will the same possibility which the people have with fiat money. Exactly the same. If bitcoin will be regulated the banks have no sense to not use it (I think) because of the reasons given in the main post.
3. If the bitcoiner will not use the banks it is another thing that have nothing to do with the aim of this thread. Here are discussed why the banks (must, can) hate bitcoin. If the bitcoiner use itself its bitcoins where is the bank here?
4. It is not possible that every bank make its crypto. Have no sense. How it will be the change of money between banks if this become true?. Maybe are 100 000 000 banks in all the world. Have sense that each of those have its crypto? To not tell that this activity can be hard to manage and totally out of the work made normally from a commercial bank.

These are my thoughts about your post.  :D

A majority of the people on this forum are absurdly biased and quite illogical in terms of their belief that the "government" and the "greedy bankers" and so fourth are all after them and after Bitcoin. The harsh reality is that Bitcoin is a literal drop in the bucket in terms of financial markets - it makes little difference to any of the major players (both Federal and commercial banks). They don't bother helping Bitcoin because it's too much effort for little to no return. They occasionally go after people who use Bitcoin alongside their bank accounts because of their own TOS or money laundering or not wanting to deal with a customer they consider "high risk".

TLDR: The banks don't actually care that much - it doesn't make a significant different to their bottom line in helping Bitcoin (actually the opposite) so they don't.

Very correct answer Light (according to me). Agree totally with your post and your thoughts. This reasoning make sense and is complete in its explanation. Thanks for the comment.  :)

I think that banks refuse bitcoin because they can't collect fees on it  ;D One of bitcoin's advantage is it have zero/low fees, while most credit cards are charging few percent of fees (by bank). They would lost the huge income on fees, so that's why they hate it. They are greedy ;D

Not true. No one can impede those to charge fee of every kind to every transaction made with bitcoin. And may have right. The work made from the bank (its employers) deserve some money. That money became from the fees charged to various actions made with the money. If bitcoin will be used as a money from those they have the right to charge fee to every action with it.

Anyhow thanks for the comment.  :)

It is ment central banks.
Basicly could also be commercial banks since wil loss some fees we pay to get our money moved. But Commercial banks will just use blockchain to cheaper move money and they will actually gain more then they do right now since number of transactions will increase even faster as till now.

IMO..

Actually "hate" is not the right term or should I say "hate" my vary per country. I think most banks preferred fiat than virtual currency. My girl works in one of the top banks here in our country and all of them don't know anything about bitcoin. Even there bosses there. But when bitcoin truly develops here and just a one called from our Central Bank with all details and much clearer point of risk I think bitcoin won't hate that much by some banks here and will accepts it.

I just don't like the way our Central Banks issued it's first statement regarding bitcoin.


Still no statement until now. Much better then lol.

Most lower and middle class customers at banks, suffer under excessive fees. I know our banks charge enormous fee's for withdrawals and debit orders and insurance fee's on credit cards etc. etc. The more

wealthy people do not have a problem, because they keep a specific amount in their saving accounts and pay zero fee's. The middle and lower income groups, live from hand to mouth and cannot afford to keep any

savings in a account to cancel out fee's... so they are charged premium fee's. It should be the other way around, but the banks protect the rich, and offer them higher interest rates on bigger deposits and lower

fee's, if they keep it in the account. The silly thing is, they sponsor sport and charities and their customers have to pay for that. Bitcoin eliminate the middle man and you pay more or less the same fee for any

amount you transfer to any person or merchant for payment.  ;)

Banks control fiat and it is their main life line. If bitcoin steps in and completely overtakes fiat imagine how much money they would have lost from the business as there is virtually no fee to collect. Lending which are controlled by banks also become obsolete and that is where part of their revenue come from.

Sorry but you cannot know what is in the mind of ALL they which has named banks on its posts. I can tell for sure that most of them don't know what is a Central Bank and what is a commercial bank. With bank (according to me) mostly they mean the bank near their home in which they do the normal things which needed to do from one bank. And this kind of bank is the commercial bank.

I don't understand what does it mean your sentence in bold. As for the other sentence I think you are wrong. The blockchain is good (according to me) because will increase the safety of the transactions and first of all will reduce the costs because blockchain use the peer to peer technology. This technology (if you know it) is disruptive because have one of the best characteristics of it the reduction of costs in every action made by something which use it.

As for the increase of transactions (will have more the transactions; those with bitcoin) I think that it will be not so big seeing the number of people who know it and use it. Anyhow this is a fact which is in favor of the not hating of bitcoin an not the hate of bitcoins from the banks.

Thanks for comment.

They have already lost their monopoly over the worlds money supply, but they don't know it yet

Napster was fought and slaughtered by the banks, record companies etc yet they still lost their monoploy over the distribution of music due to the creation of peer to peer filesharing technology

Once the technology is put out there and into the hands of the public nothing can be done

We will see the full effects of this during the next 10 years

When bitcoin is regulated, governments want us to use bitcoin as it is traceable, and taxable, not like cash.

i have positive thinking in this case
-they worried about bitcoin security, so many people say that saving money digital just will make you losing your money
-they think bitcoin is just a joke, they didnt take serious about bitcoin

Digital currency is merely our first introduction into a cashless society

haha, thats nice! but I think you are kidding right now.  :) All the banks care about is the profit, they don't give a s*** about people's security.

that's not true, it's not traceable if i simply move funds from a place to another, taxable also, if i don't exchange it to fiat, there are no taxes, and many country don't even tax it regardless

bitcoin is even more dangerous for the governments than cash, otherwise one could not explain why it was banned(and still it is in some countries) while cash was never

i totally agree with you banks will lose all their cheating and unwanted charges from the customers when they chose to use bitcoin instead of fiat. it will be a benefit for customers to deal with

When you are paid salary with bitcoin, which I hope in the future most of us will be, then the tax authority will know because your employer have to informed them and show them the transactions.

I don't think that banks hate bitcoin, just that people here hate banks and thus they say that banks hate Bitcoin since banks have not yet adopted it yet. I'm fairly certain it is just that banks don't care about bitcoin yet because it isn't very big, it isn't relevant to them. They also avoid Bitcoin because of the lack of regulation so it can be risky for them to use bitcoin.

I am not sure that all banks are hating Bitcoin at the moment. We can see the proof of that, some are refusing to work with Bitcoin altogether and some are welcoming Bitcoin and cooperating with. This is a great thing, because at the end we will have many banks that will bring decisions do they want to work with Bitcoin or not. Not just a handful but many different ones.

Now I have a theory that all bank could hate on Bitcoin and why? Well it's pretty simple in my opinion, if all the people in the world would take their own finances in their hands, we wouldn't need banks. Well with Bitcoin, we are one step closer to this. I am not saying that Bitcoin is ready for that, but we are one step closer to total control.

I would think compatibility issues and the fees don't go to them.
At first I thought they would see it as a threat but bitcoin is incorporating itself into everything that we do online now. So they will eventually have to work with it in the long run or lose more business.

 I think we can say big banks,but hate is to much to say.Bitcoin is kind of competition for them,thay are loosing cards fee,but we need to remember that btc  hasto be exchanged to fiat at the end,in that moment banks make his money on fees

ah well yes, if you're payed directly by your boss at your job then you're forced to pay, actually he pay everything for you in advance, it's how it work in RL

but you can always earn bitcoin in a different way through the web, and there are no tax to pay in that way, it's another reason why i like signature campaign

There are many reasons for what banks hate Bitcoin but some of them I will tell which are more important ones.Banks are running on commissions for different services like deposit and transfers funds for payments.Bitcoin gives more flexibility to deposit in your own wallet and fast and cost effective transfers facility.It is normal bankers will hate to anything it is not just about Bitcoin which compete with them.

You know why they do.

com si com sa ,,,, on the long term it will and be

If banks did not run on commission they would all go out of business. Such a shame that would be  ::)

Commercial banks have fear that if people started using bitcoins instead of traditional money then their business will be shut down. If bitcoins became the mainstream money then there will be no role for banks.

Soon you will hear about people going to jail for trying to use bitcoin to avoid taxes. If you dont know what you are doing, dont try it.

Business is all about getting the cake, or as much of it as possible. Right now they don't take it very seriously, but they know there is a chance that Bitcoin disrupts their cake in the future, and it may start getting bigger and bigger slices until there is nothing left for them. They are still on the denial stage. The next 10 years will be the most interesting in human history.

There is many reasons for this , i think. Being decentralized currency, and helping people to make anonymously transactions is already not very elegant in the commercial banks eyes. They prefer to know the identity of the buyer/seller, and they prefer to use the reversible payment processors, and Bitcoin is totally different so that why they hate it

Every "bank" is a member of the central bank.  They all benefit from the fractional-reserve currency system by borrowing money from the central bank at a one rate and lending it out at a higher rate.  The inflationary nature of a centralized fiat currency allows for many monetary policy mechanisms that a decentralized currency with a finite supply such as Bitcoin offers.  Essentially the banks benefit from being able to create money and charge for it.  They can't do it this with Bitcoin.

in my country you don't go to jail for not paying taxes, at worst they can confiscate your goods/house, everything you have

assuming they can catch you, but if i pay in bitcoin directly and privately, by buying used stuff, it would be almost impossible for them

Thanks to all of your for your post. Everyone of your thoughts is welcomed in this thread. I invite you to continue with your posts and your thoughts because every one of those is important and encourage the discussion about this important thing (according to me) such it is the accepting or not of bitcoin by the commercial banks.

I began to give my thoughts and my interpretation to every post but I see that my time is few to continue this practice. Needed to much search and engagement and this is to hard to be made by me. Have even to many other things to do.  :)

I will try to give my opinion to a few of those. To whom I think that I can give something different and personal.

Correct interpretation (in overall) but not complete and partially wrong (according to me).

1. Every commercial bank have money from the Central Bank but the main source of its money are the money of its clients. This is the real work of a commercial bank. To take the money of its customers and to work with those in order to have profit from the circulation of those; from the work with those. From this profit part of it go to the client, part to the bank and part to the Central Bank. According to the contribute of every subject and the accords between the parties.

2. A commercial bank don't do monetary policies but only work with money. In various ways but only work with money. The monetary policy is made only from the Central Bank and we are not talking about the Central Banks here. It is not their work as a aim of this thread.

3. There has nothing to do the finite or the infinite supply of the money with the work of a commercial bank. Every bank want an amount of money (its part of money; that amount which is capable to accumulate from its customers and from the others which will come in the future) and work with that amount. The overall supply of every kind of money have to do with the monetary policies which, as I told in point 2, is not part or aim of this thread.

4. Having in mind 1,2 and 3 as above written, have nothing to do with the work and the earnings of one commercial bank the nature of the money or if it is centralized or decentralized. At the commercial bank needed money (only money, simply money) to work with it in order to have profit. Those will have bitcoin from its customers, like will have us dollar or euro or any other kind of money and will work with it (those) to earn profit. Maybe will be few bitcoins but are money and can give profit. And having in mind the value of bitcoin and (theoretically) its value in the future those profits can be not indifferent.

Those are my thoughts about your post.  :)

Very thanks for the comment.

I dont understand how you not agree with me and then just repeat what i posted. Commercial banks will use blockchain to send transactions cheaper then they do right now!

in bold, i ment that right now commercial banks have sort of monopoly ( well there are many so not really, but with blockchain everyone will be able to use it) in making money transfers. So they will on first sight lose that, but since number of transactions will raise, they will not lose anything. Ofcourse those that will not act fast will lose.

I do more explanation about my previous explanation. Your "cheap" in that sentence is followed by the reasons of this "cheap" given in continuation. Those reasons  (according to me) are wrong. My explanations have to do with the reasons of the "cheap" and not with the "cheap". So according to my explanations, the "cheap" have not the reason given by you but have totally others. Maybe I'm wrong and you're right. Everyone can take what fit with its pleasure.

The second part of your answer in the last post for me is again not fully clear but for that which I understand, why the banks will lose "the sort of monopoly" in the transactions? Will be the bank which will do the transactions of the bitcoins that will be deposited to the bank by the its customers. As for the other transactions which will be made out of the commercial bank, those will have nothing to do with the bank. So even with aim of this thread.

Bank will have more transactions if will accept bitcoin because will do even the transactions with bitcoin. Will earn even from those. So more transactions and more profit. No reason to hate or to not accept bitcoin. The other transactions with bitcoin out of banks have no reason to be treated here. Are out of banks. We are talking about the bitcoin within the bank not for those out of it.

To not forget that mainly, those kind of banks, have profits from the credits and not from the fees of transactions.

I think that bitcoin it is not yet and will be not able to cover all the needs of all the world for all the times with money. I'm not sure about this because have not data right now in my head. This is my first reserve about your idea.

The second one is another and more important (I think). If everyone will manage himself its finances and it will be not more  the need for the banks where it will be possible to find credits? The credit is an important tool for the people and for the businesses to be created, developed or go forward in the good and bad moments. So, if your idea will become true, what it will happen with this tool and the needs for it?

Thanks for the comment.

Thanks for the comment, happy that your first comment is in my thread and you are not at all crazy. Believe me.

I can tell one my secret. I too want the end of fiat currency. And the replace of it with a national digital coin. Which can have even its physical form. So if you think that you are crazy you have a friend.

But is not the commercial bank which is interested by those things. For this kind of banks it is the same if it will work with the fiat money or with another currency. They again will have its customers even with the (if will happen one day) new national digital coin or bitcoin. They will charge the same the new money with their fees and will do money with the credits given with the new money. They will do money in all the ways given to them by the low and the rules of the Central Bank. So they are indifferent about the form, the color, the form or the owner of the money. They are interests and want only the MONEY. Whatever it will be.

Commercial banks hate Bitcoin because this will replace current financial system and offer more efficient and cost effective and faster transaction with more freedom.Banks use people's money from deposits to invest in other schemes to earn much more once Bitcoin goes mainstream there will not be only Bitcoin but also many digital currencies will put banking system in danger.

Thanks for your comment.

My answer about your thoughts it will be almost the same with what it is written in my previous post. So, if you want, read my above posts and you will have my answer for your comment.

To banks bitcoin is an other currency. So I think banks will use bitcoin in the future if they can make more money.

I think this might be one reason , banks use the deposits to invest it and make profit, but they use only fiat currencies till now, they have doubts about bitcoin transactions and thought it's "virtual" enough to be risky

This makes complete sense. The banks can not handle it's virtuosity so they just want to see it obliterated.
It sound's more like a war then economics.