How Bitcoin was brought down by its own potential—and the banks !!!

[bilabonic]

Hi All

Just read this article, what are your thoughts ?

https://uk.finance.yahoo.com/news/bitcoin-brought-down-own-potential-134912658.html

Cheers

[shinratensei_]

The revolution heralded by Bitcoin now looks more likely to be transactional rather than transformational. Soon, Nasdaq, the world’s second-largest stock exchange, had declared 2015 to be the “year of the blockchain.” They even created their very own blockchain-enabled trading platform, Nasdaq Linq. The momentum has continued to build: A company called R3CEV is working with a consortium of 45 of the world’s most powerful banks and investment firms to create a modified blockchain that would allow companies to pick and choose what information they actually decentralize and what they keep held tight. Meanwhile, the Linux Foundation has joined forces with a who’s-who of the tech and business worlds to create the Hyperledger Project, an open-source attempt to find new use cases for blockchain technology. Goldman Sachs has even patented its very own cryptocurrency, SETLcoin, to permit the instantaneous execution of trades on the stock market.

Okay from this paragraph and how a lot of the financial institution is really feeling if blockchain is more than a threat for them.
and abuzz for modifying the blockchain technology for threatening the blockchain?

[~Bitcoin~]

I actually think other blockchain tech/coins wouldn't harm bitcoin by any means. It will certainly make people aware about blockchain, decentralization but when they will find out there is bitcoin which works as decentralized currency and also are not traceable i am quite sure there are many guys out there who like to rid of taxes and store their wealth without anyone noticing. This can bring more people towards bitcoin...

[franky1]

banks using blockchain technology is meaningless
this is because how the data is saved behind closed doors is meaningless to people outside of the door. those outside of the door will still rely on those inside the door.
it wont matter if its mysql, levelDB, single or several copies or blockchain... from an outsiders prospective they wont see any difference.

what matters is who has authorization to move funds.

bitcoins premiss and promise is only the user(holding a private key) can move funds

the only thing that i see that will bring bitcoin down is if bitcoin becomes centralized requiring third party authorisation as the only way to move funds
EG
lightening network can be a useful tool because multisigs allow 'hubs' to treat a payment as accepted instantly just by a customer and hub signing over funds (both agreeing who deserves what)..
the issue however is those funds are already locked into a multisig, which a 'hub' also has authority over. meaning lightening networks are just like banks. they need the bank(hub) and customer to 'authorise'/sign funds movements together. and if lightning network becomes the only method of bitcoiners transacting.. then its no better than a bank..

another example of centralizing bitcoin users..
moving funds/value to a centralized sidechain eg  'Liquid' . which exchanges have authorisation to move..

i say this while actually wanting something like lightning network.. but just as a free open option to use voluntarily. and not as the main/only way to spend bitcoin. we should not rely on LN or sidechains as the 'capacity' solution.. but think of it as more of a secondary option/choice.

other things like sidechains(taking popularity away). and centralized services(third party authorization) are what we should worry about more. not whatever banks are doing behind closed doors.

let banks play with their closed off databases. but lets concentrate on keeping bitcoin decentralized while increasing onchain capacity so that more people have SOLE control of their assets