Banks building new sevices using blockchain tech

[Iotrez]

Hi all,

I was just reading this article about LHV bank building an app using blockchain technology which "enables users to send and receive euros instantly and free of charge".

If banks start to do this then doesn't it mean that there is less of a reason for bitcoin?  I thought that one of the main reasons why bitcoin will take off in the future is that it reduces costs for people.

As an investor in bitcoin, is this kind of development worrying?


http://www.coindesk.com/lhv-bank-backs-wallet-app-built-on-bitcoins-blockchain/

[medUSA]

If banks start to do this then doesn't it mean that there is less of a reason for bitcoin?
http://www.coindesk.com/lhv-bank-backs-wallet-app-built-on-bitcoins-blockchain/

The app does not have it's own blockchain, it uses the Bitcoin blockchain to store the transactions. There is more reason for bitcoin, because the Bitcoin blockchain is the most secure public blockchain we have.

[egyproductions]

" create a financial services platform and money-transfer app that will utilize bitcoin to facilitate transactions"

There would be no need for fiat money if this is how bank would go about with their business, if there is no fiat money, then there is no need for banks

[Iotrez]

Thanks, but aren't developments like this going to stop people wanting to use bitcoin? 

If its no cheaper to use bitcoin why will they bother.

[egyproductions]

Bitcoin -
It’s fast
It’s cheap
Central governments can’t take it away
There are no chargebacks
People can’t steal your payment information from merchants
It isn’t inflationary
It’s as private as you want it to be
You can create your own money like differnt crypto coins


They just used the blockchain to make a quicker way to send money, the right question is, if they're going to use the blockchain anyway, then why not just use bitcoin? its far more established and works fine.
The banks got it wrong, and it time they put down their guns.

[Unbelive]

Hi all,

I was just reading this article about LHV bank building an app using blockchain technology which "enables users to send and receive euros instantly and free of charge".

If banks start to do this then doesn't it mean that there is less of a reason for bitcoin?  I thought that one of the main reasons why bitcoin will take off in the future is that it reduces costs for people.

As an investor in bitcoin, is this kind of development worrying?


http://www.coindesk.com/lhv-bank-backs-wallet-app-built-on-bitcoins-blockchain/

They cant use bit coin block chain if Bitcoin dont exist. This is adoption. Adopton is not only that you go buy Kabab with bitcoins. To do that you dont realy need Bitcoin. Bitcoin gives you much more.

[Febo]

Hi all,

I was just reading this article about LHV bank building an app using blockchain technology which "enables users to send and receive euros instantly and free of charge".

If banks start to do this then doesn't it mean that there is less of a reason for bitcoin?  I thought that one of the main reasons why bitcoin will take off in the future is that it reduces costs for people.

As an investor in bitcoin, is this kind of development worrying?


http://www.coindesk.com/lhv-bank-backs-wallet-app-built-on-bitcoins-blockchain/

They cant use bit coin block chain if Bitcoin dont exist. This is adoption. Adopton is not only that you go buy Kabab with bitcoins. To do that you dont realy need Bitcoin. Bitcoin gives you much more.

Yes this is future of Bitcoin. People will not even know they are using Bitcoin. but they will daily.
Now we mainly get lost explaining people what Bitcoin is. That is just a waste of time. People are not interested how and out of what their car was made. They are just interested how fast and comfortable they will travel from home to their job with it.

[Amph]

Thanks, but aren't developments like this going to stop people wanting to use bitcoin?  

If its no cheaper to use bitcoin why will they bother.

don't forget that euro and other fiat, to be send may be free of charge, but there are always other cost involved, for your credit and debit card, instead with bitcoin besides the lowercase fee, there are no other type of fee

also there is always the decentralized aspect, and the store of value that bitcoin offer over fiat, it's not only about fees

Hi all,

I was just reading this article about LHV bank building an app using blockchain technology which "enables users to send and receive euros instantly and free of charge".

If banks start to do this then doesn't it mean that there is less of a reason for bitcoin?  I thought that one of the main reasons why bitcoin will take off in the future is that it reduces costs for people.

As an investor in bitcoin, is this kind of development worrying?


http://www.coindesk.com/lhv-bank-backs-wallet-app-built-on-bitcoins-blockchain/

They cant use bit coin block chain if Bitcoin dont exist. This is adoption. Adopton is not only that you go buy Kabab with bitcoins. To do that you dont realy need Bitcoin. Bitcoin gives you much more.

Yes this is future of Bitcoin. People will not even know they are using Bitcoin. but they will daily.
Now we mainly get lost explaining people what Bitcoin is. That is just a waste of time. People are not interested how and out of what their car was made. They are just interested how fast and comfortable they will travel from home to their job with it.

something along the line, of "they will use euro, the system convert those in bitcoin, without telling you, those bitcoin will be send to the recipient, and then converted again, without you know nothing about it"? it could work, but not without fees

[Iotrez]

They cant use bit coin block chain if Bitcoin dont exist. This is adoption. Adopton is not only that you go buy Kabab with bitcoins. To do that you dont realy need Bitcoin. Bitcoin gives you much more.

So if the use of blockchain becomes more widespread, but the use of bitcoin as a currency doesn't, what effect will it have on the price of bitcoin?

Will there be any force to drive the price higher in this case?

[BillyBobZorton]

Thanks, but aren't developments like this going to stop people wanting to use bitcoin? 

If its no cheaper to use bitcoin why will they bother.

It doesn't matter if 1 Bitcoin is 1 USD or 1 Bitcoin is 1 million USD, it's as useable and you don't need to buy entire amount of Bitcoin, you can buy as low as 0.00000001 of a Bitcoin, or ideally get paid on it (in the future it will be more common). It will just mean that previous holders will be more wealthy due increased purchasing power.

[aztecminer]

" create a financial services platform and money-transfer app that will utilize bitcoin to facilitate transactions"

There would be no need for fiat money if this is how bank would go about with their business, if there is no fiat money, then there is no need for banks

this is all part of illegalizing cash.... if you use cash to pay for your stuff then you need to have your picture taken, supply your drivers licences, social security card, the year make and model of the car you are driving with your licence plate number, fingerprints, and your address along with your moms address.. and all telephone numbers, and your information will be submitted to the homeland security to be run background checks through the fbi and the irs, at which point you will be added to "THE DATABASE".

[Bit_Happy]

" create a financial services platform and money-transfer app that will utilize bitcoin to facilitate transactions"

There would be no need for fiat money if this is how bank would go about with their business, if there is no fiat money, then there is no need for banks

this is all part of illegalizing cash.... if you use cash to pay for your stuff then you need to have your picture taken, supply your drivers licences, social security card, the year make and model of the car you are driving with your licence plate number, fingerprints, and your address along with your moms address.. and all telephone numbers, and your information will be submitted to the homeland security to be run background checks through the fbi and the irs, at which point you will be added to "THE DATABASE".

Bitcoin wasn't intended to make Big Brother even stronger..... ...or was it?

[manselr]

" create a financial services platform and money-transfer app that will utilize bitcoin to facilitate transactions"

There would be no need for fiat money if this is how bank would go about with their business, if there is no fiat money, then there is no need for banks

this is all part of illegalizing cash.... if you use cash to pay for your stuff then you need to have your picture taken, supply your drivers licences, social security card, the year make and model of the car you are driving with your licence plate number, fingerprints, and your address along with your moms address.. and all telephone numbers, and your information will be submitted to the homeland security to be run background checks through the fbi and the irs, at which point you will be added to "THE DATABASE".

It's obvious there is an agenda to get rid of physical cash and do everythingdigitally. In Norway cash is barely used for example.
Bitcoin can be a way to stay out of government control. Just because they use the blockchain to deal with their data, that is irrelevant to what you do wit your Bitcoin.

[newcripto]

Blockchain technology is innovative and the best to transfer funds fast and transparently with minimum costs.This good banks realized that they need to invest in this tech and to integrate their systems in future other wise they will be out of this race.

[DeltaHunt]

I'm glad that banks are starting to have money transfer without fees.  The technology is there they just have to develop it for themselves and adopt it in a way that makes sense to them.

[BTCjust]

block increase to 20m for banks

[anderson00673]

I am not sure what to make of this.  It seems good because the technology of bitcoins is becoming more well known.  However the bank is using the tech against bitcoin isn't it?  Maybe it will get press and be a good thing after all.  If banks are using bitcoin tech it must be pretty solid right? (is what the average person might think)

[NorrisK]

They probably wont launch their own blockchain due to the risk of external parties starting to mine their chain (even if they don't publically release it, somebody will probably find out how to mine it). Bitcoin is the safest bet for now.

[Kprawn]

The only way for them to be successfull with this, is if they lay off 1000's of people and go 100% online banking.

The current business model, does not allow for such a disruptive cut in income, without sacrificing something else. There will be people without jobs or they would fund this from something else.

The governments would find some way to help them. The reserve banks will manipulate something to allow for this to happen.

Would this be the end of Bitcoin? NOPE ..... Bitcoin will still be a alternative to the current banking system {Currency & Payment system}, and the Blockchain will still be used for it's other features. {Smart contracts etc.}   

[AJMax]

I did hear about 1 year ago during summer of 2014 that major institutions are interested crypto technology and blockchain in particular, but not bitcoin itself.

Current development therefore, is of little surprise. Why won't they use a good technology?