Would you trust your Bitcoins to a Bitcoin Bank with annual 10% interest rate?

[maokoto]

I would consider it if the bank offered reasons as to why it can provide such an interest. But you can get more than that investing in mining or loans.

[chennan]

I guess there could be two sides to this argument. If Bitcoin becomes the main currency for everyone and there are "Bitcoin banks" popping up, there would be a need for people to take out loans of some sort to start up businesses and that sort of thing. There is always sims type of need for loans, and therefore a market to make you and the bank that 10%.
Then you also have to look at the purpose of why Bitcoin was created. To stay away from the banks and become your own bank. Central banks can't just print away bitcoins which makes them valuable. So in order for someone to take out a loan, there would need to be a very direct plan of making substantial amount of profits.

Hard decision, but I know if the opportunity presented itself in the future my answer will still be no.

[RealBitcoin]

Would you, or would you not?

No, the whole point of having bitcoin is to not put money in a bank.

If I`d want a bank then I would hold my money in fiat in a bank.



Plus what bank gives 10% anyway. It's impossible to generate that high ROI with huge capital. Sounds like the Madoff ponzi scheme, he promised 10% APR too

[The Sceptical Chymist]

it's funny, but I would trust my Bitcoin with my local bank perhaps but would never trust it with anyone on this forum or pretty much anyone in the Bitcoin world. There are so many fucking scams going on here that trust is nowhere to be found.

well I respect half of that comment.... but trusting banks is very naive. Bail ins, austerity measures and asset forfeiture is the new trend.

I get it but my money has been safe in a bank for years whereas anyone in bitcoin looking to give you interest on a btc deposit has pretty much been a knave.  Yes I see the things you said but in the us for example the bailouts are the reason why your money is still safe in the bank.

But I could be totally wrong and I've been called naive before.

[Chris_Sabian]

No, just no.

[Cortive]

Nope, you cannot trust anything. Banks are a no no.

[hunnaryb]

Banks are also just places that supposedly hold your money but they actually lend it out and sometimes fuck up the economy when they lose.

[Slark]

People are not aware how rotten banks really are. Banks were originally created to help people mange their money or give credits.
Now it is more like they are here to leech out our money above all else. I don't keep my money in a bank and won't store (if that was possible) my bitcoins in a bank either.

[iv4n]

Why not, if it is some legit bank. There will be things like that in future for sure, some them will be scams, some will be legit. It will be on people to try to avoid to be scammed. Of course before giving money I will try to inform myself as much as possible.

[el chavo]

I can get bigger interests investing BTC by myself. Even with fiat, in the correct investments.

Why should I do it?

[ranochigo]

I would if they have a proof of solvency audit made every few months to ensure that they are solvent. Even so, I would still be very wary and invest a tiny bit. Currently, there is no way for banks to make money other than loaning it out which is hard for a pseudonymous currency like Bitcoin. It would most likely be a ponzi.

[NorrisK]

it's funny, but I would trust my Bitcoin with my local bank perhaps but would never trust it with anyone on this forum or pretty much anyone in the Bitcoin world. There are so many fucking scams going on here that trust is nowhere to be found.

well I respect half of that comment.... but trusting banks is very naive. Bail ins, austerity measures and asset forfeiture is the new trend.

I get it but my money has been safe in a bank for years whereas anyone in bitcoin looking to give you interest on a btc deposit has pretty much been a knave.  Yes I see the things you said but in the us for example the bailouts are the reason why your money is still safe in the bank.

But I could be totally wrong and I've been called naive before.

Now you are comparing bitcoin interest to keeping fiat safe. That is not a correct comparison.
The interest you got in the bank is not even worth mentioning at the moment, inflation is even higher and also any taxes you have to pay over your wealth will top this easily..

[Metadextrous]

No, why would you go to the other way of centralizing your fund when Satoshi had insighted that Bitcoins will be a decentralized money?

[croato]

If i would trust that Bank enough and if i have coins i could afford to lose, i would invest there. PPl should understand that putting money (fiat, bitcoin, gold or anything of value) in to bank is investment, and moment you send money there, it is not yours money anymore. If you dont have keys of vault (physical or digital no matter) it is not yours what is inside. From perspective of average Joe, life is a Casino lol.

[ivanst776]

No i would not, banks can buy bitcoins directly if they want and not "playing" with their clients money and delay the withdrawals for sure.

[Amph]

only if they had insurance against anything, so my money are fully covered from hacker, server problem, the usual "we lost our backup" and shit like that

otherwise no, and i would prefer if my money were not freezed in the meantime while i'm earning this interest, i hate that shit...

[crazyivan]

Some of the larger exchanges and mining farms already provide this interest and their model is sustainable and verifiable. So it all comes down to transparency. If there s no transparency, I trust noone.

[NorrisK]

Some of the larger exchanges and mining farms already provide this interest and their model is sustainable and verifiable. So it all comes down to transparency. If there s no transparency, I trust noone.

But do they offer a 10% interest rate? That is the part in worried about. 2% or something seems viable in current economy, but 10% is just waaay too high and sounds too good to be true.

[bitlancr]

No, I wouldnt do this. Why would I trust a bank with my bitcoins? I don't trust banks in general either. That's why I try to stay away from it. I don't trust banks with a savings account either. I can invest into bitcoin myself without the 10% interest and make more profits from those bitcoins rather than giving it to a bitcoin bank.

[Rubberduckie]

What type of bank are we talking? Maybe if they had a location and
I could actually go in and meet the people doing it etc. Which kind
of goes against what bitcoin is about.

But definitely no random bank on some website operated out of the
costa rica (some dudes basement who knows how to design a website)