Citigroup Is Testing Its Own Bitcoin: 'Citicoin'

[BitCoinPokerBro]

As much as us bitcoin/crypto supporters would like to say no one will use the coin for the shear fact it's been released by a bank you'd be lying if you did. 

[ransomer]

As much as us bitcoin/crypto supporters would like to say no one will use the coin for the shear fact it's been released by a bank you'd be lying if you did. 

Yeah... that will not be the reason it fails.. if it does.

[francis.cameron]

This news got me thinking and more into Bitcoin.. There are some great things to be done. Citicoin isn't really a bad thing, it was very logical event. Great to see that the landscape is truly changing!!

[ransomer]

I think any coin issued by bankers will fail very badly unless it is for the bank internet use.
Most people who adopt cryptocurrency hate bankers, why would they adopt a coin issued by a bank?

Sadly that is like an Amazonean tribe saying "medicine A taken from our sacred plants by white people will never work. Everyone who uses the plant hate white people".

Yeah, well - the end game for any bank will not be the current small bank-hating crypto crowd... it will be the average population. If none of us in here uses it will not trouble them in the slightest.  

[Nxtblg]

First up is Citigroup, the New York City-based global banking giant recently revealed to the International Business Times that it is developing its own version of Bitcoin. Predictably branded ‘Citicoin,’ the virtual currency was coded by Citigroup’s research and design arm, Citi Innovation. Still in the early testing phase, a patent has not been filed for the mainly open-source cryptocurrency, which is based off of Bitcoin and its core blockchain ledger technology, a chronological public ledger of all Bitcoin transactions that have ever taken place. This approach will allow for less complicated and less costly cross-border payments and other transactions.

The way this paragraph reads, it'll act like Ripple. In fact, they prolly got the underlying idea/use case from hearing about Ripple.

[jbreher]

First up is Citigroup, the New York City-based global banking giant recently revealed to the International Business Times that it is developing its own version of Bitcoin.

The way this paragraph reads, it'll act like Ripple. In fact, they prolly got the underlying idea/use case from hearing about Ripple.

Well, that's hardly "it's own version of Bitcoin", now, innit?

[Spoetnik]

no bank is going to make and use a coin long term for the public.
why would they ?
think about it.. they already have infinite methods of transferring money that is cheap (compared to starting a coin)
I can send money from any bank to any bank by just asking them to do it.
I can also use stuff such as western union, money orders or interact eChecks etc.

so tell me what could a coin possibly do that they can't already and have done for 50 years ?
and the cost / security factor of setting up and maintaining a coin is another issue.

[jbreher]

so tell me what could a coin possibly do that they can't already and have done for 50 years ?

Cut out the expensive middleman, and let them trade with each other directly. Yes, banks have middlemen too - the clearing houses.

[Spoetnik]

so tell me what could a coin possibly do that they can't already and have done for 50 years ?

Cut out the expensive middleman, and let them trade with each other directly. Yes, banks have middlemen too - the clearing houses.

ever used interact eTransfer ?
I have lots and it can't cost them that much to setup..
I used it with Localbitcoins to set up deals selling Bitcoin many times and got paid instantly.

I really don't see how any large bank has a need for crypto coins.

[jbreher]

so tell me what could a coin possibly do that they can't already and have done for 50 years ?

Cut out the expensive middleman, and let them trade with each other directly. Yes, banks have middlemen too - the clearing houses.

ever used interact eTransfer ?
I have lots and it can't cost them that much to setup..
I used it with Localbitcoins to set up deals selling Bitcoin many times and got paid instantly.

I really don't see how any large bank has a need for crypto coins.

I've never used interact eTransfer. Never even heard of it. Do banks routinely use it to move $trillions daily?

Perhaps you've not yet read the recent report from the World Economic Forum on new challenges in the FinTech space. Created by... you know... bankers and such? It has identified the fact that crypto can be moved directly between parties without recourse to authority as a major competitive challenge in the next years. As in, something of which to beware, and also something which could be leveraged to reduce costs.

[Forceflow]

This will most likely not be a coin that people can actually use, transfer or trade.

What they might be planning to do is to use the block chain tech and Citicoin as a backbone of their money transfer system, so the coin will always remain their internal asset rather than a public currency.

This may make it easy for them to transfer their money across the globe but regular users will hardly notice what's happening behind the curtain.

They can already do this.  The fees they charge for that are just for their own profit.  This could be done for purely accounting/ledger purposes.

[Forceflow]

so tell me what could a coin possibly do that they can't already and have done for 50 years ?

Cut out the expensive middleman, and let them trade with each other directly. Yes, banks have middlemen too - the clearing houses.

The only middleman in the US is the Fed and they are giving it to banks for free (right now).  ACH is comprised of the Banks and NACHA and the Fed.  The hens are so screwed as the foxes feast.

[nextgencoin]

People seem surprised about this. Bitcoin is a stake at the heart of the banking cabal that runs our world. They have done their best to discredit Bitcoin but the fact is they can't really control it which is why its inevitable that they would try to make their own that satisfies their desire to inflate the currency as they wish.

I told people this was coming, sadly many will be duped. Still I don't care, hold onto the real thing, you can't save everyone.

[wosch76]

This will most likely not be a coin that people can actually use, transfer or trade.

What they might be planning to do is to use the block chain tech and Citicoin as a backbone of their money transfer system, so the coin will always remain their internal asset rather than a public currency.

This may make it easy for them to transfer their money across the globe but regular users will hardly notice what's happening behind the curtain.

I fully agree. that's exactly what citi, ubs, santander, ... have in mind. the regular user won't notice any change, but they could save millions.
Maybe they will encourage other banks to join their blockchain or work together to create a common blockchain so one day there will be one global bank blockchain for all money transfers.

[Netnox]

GetGems participated in their mobile challenge and won most visionary social media solution among 80 worldwide participants, so i do not hope they have copied them somehow.

[newb4now]

I would never use such a product but some people will just as some people will use Ripple.

In the end this sort of thing will just bring more attention to crypto. As people learn they will move towards bitcoin itself (or Monero if they value privacy) as a superior option to something run by a bank.

[Iscamscammers]

Sad thing is; there will be some dumb people who may buy some and give it small value.   

It may be a reverse ploy by banks to show that crypto won't work - to the general, uninformed public.

[Nxtblg]

It may be a reverse ploy by banks to show that crypto won't work - to the general, uninformed public.

That's very doubtful. There are lots of stock analysts watching Citigroup like the proverbial hawk. All of them will conclude that the announcement of Citicoin means that Citigroup is moving into cryptocurrency - at least at an experimental level. If Citigroup management pulls a "reverse ploy", those analysts will seriously question their sanity. In Wall Street and Executive Row, the kind of thinking you and I sometimes use is dismissed out of hand as "conspiracy theorizing."

[SebastianJu]

Sad thing is; there will be some dumb people who may buy some and give it small value.   

It may be a reverse ploy by banks to show that crypto won't work - to the general, uninformed public.

Surely they will set the value for citicoin. Probably it will be worth $1 or some bonus points or something like that. You dont really believe they let a coin go free whose price is valued by the market? That would be risky, what to do when it fails? And it would be contrary to how banks work. They SET the price for things.

[Kevin77]

They have no experience in this. They should have been taking over / buying out an established altcoin or just use BTC blockchain.