Build a Bank Of Bitcoin

[darthmaul]

if i build a bank of bitcoin that operating like a traditional fiat money bank when people can save the money and get interest for their saving and also people can get a loan from my bank but the fiat money is change for bitcoin, the question is would you guys trust me to save your bitcoin on my bitcoin bank that i want to build ?

Not everybody holds good amount of bitcoin in their wallet. Lot's of bitcoins are being taken away by 'bitcoin mining farms'. Just imagine if they are harvesting 70% of available bitcoins and keeping for themselves then who will come to your bank? Let's assume, you got a customer to your bank. Your bank will keep it in vault, for which you also have to pay little interest to your customer. Now to keep your bank running you will also spend that same bitcoin to other customers who are interested in taking loans from you. That's the simple way to know how bank works. Now considering this scenario, take in mind "TIME" when your customer deposited money in your bank which is 'X'. At X lets assume bitcoin value was $1000. After few time you passed the loan to your another customer at time 'Y' when bitcoin value was $1200. You will earn interest from this customer lets say 'd%'. Now your bank is having $1200 * d% in it's vault. Also, at the same time your depositing customer will take out the money as he know that bitcoin price has rose. So your bank virtually having nothing except $1200 * d%  And few days later you come to know the price of bitcoin is $ 1000 again. You will pretty much happy for this but your loan customer will not be. He will raise smart question that "Why I should pay interest over $1200 if today's price of bitcoin is $1000 (He would also want to be in profit). This will cause major confusion on to bank with Bitcoins ?

[BeGoods]

if i build a bank of bitcoin that operating like a traditional fiat money bank when people can save the money and get interest for their saving and also people can get a loan from my bank but the fiat money is change for bitcoin, the question is would you guys trust me to save your bitcoin on my bitcoin bank that i want to build ?

I think bitcoin users would not be too trusting with third parties. as long as they can control their own bitcoin wallet
why they approach risk by storing in a third-party bitcoin (bitcoin bank)

[deisik]

if i build a bank of bitcoin that operating like a traditional fiat money bank when people can save the money and get interest for their saving and also people can get a loan from my bank but the fiat money is change for bitcoin, the question is would you guys trust me to save your bitcoin on my bitcoin bank that i want to build ?

Not everybody holds good amount of bitcoin in their wallet. Lot's of bitcoins are being taken away by 'bitcoin mining farms'. Just imagine if they are harvesting 70% of available bitcoins and keeping for themselves then who will come to your bank? Let's assume, you got a customer to your bank. Your bank will keep it in vault, for which you also have to pay little interest to your customer. Now to keep your bank running you will also spend that same bitcoin to other customers who are interested in taking loans from you. That's the simple way to know how bank works. Now considering this scenario, take in mind "TIME" when your customer deposited money in your bank which is 'X'. At X lets assume bitcoin value was $1000. After few time you passed the loan to your another customer at time 'Y' when bitcoin value was $1200. You will earn interest from this customer lets say 'd%'. Now your bank is having $1200 * d% in it's vault. Also, at the same time your depositing customer will take out the money as he know that bitcoin price has rose. So your bank virtually having nothing except $1200 * d%  And few days later you come to know the price of bitcoin is $ 1000 again. You will pretty much happy for this but your loan customer will not be. He will raise smart question that "Why I should pay interest over $1200 if today's price of bitcoin is $1000 (He would also want to be in profit). This will cause major confusion on to bank with Bitcoins ?

I read your post (slowly) and didn't get a thing

Could you say it in fewer words what is your point? Anyway, banks can't loan bitcoins today because Bitcoin price is too volatile for this type of business (as it has been explained many times already). If the price surges, borrowers will be happy to default on their Bitcoin loans since they will likely have more than the collateral they pledged. Providing too much collateral (which is what you are certainly going to say) in meaningless since you could just sell part of this collateral and buy bitcoins directly at present prices. On the other hand, if Bitcoin drops, then banks will suffer direct losses since their loans will get devalued along with Bitcoin

[bncbnc]

if i build a bank of bitcoin that operating like a traditional fiat money bank when people can save the money and get interest for their saving and also people can get a loan from my bank but the fiat money is change for bitcoin, the question is would you guys trust me to save your bitcoin on my bitcoin bank that i want to build ?

bitcoin might be done to make a bank, but it will take lots of money because they have made their branches in order to serve many users bitcoin, it took careful thought and planning, I hope it can be done

but i think it will be useless, i am not in favour of bitcoin banks. i think it is just the wastage of money and people ill never like to go for such complicated procedure. i think the bitcoin wallet system is the best one.

[South Park]

bitcoin bank should build in large numbers means there are branches in several major cities in the country, provide services, as well as a good management system competitive interest then surely people will believe

I am against any kind of bitcoin bank but if that becomes a reality, I don’t see the point of creating a physical bank out of something that is not physical, it would be easier to create an online bank and if they need to issue physical debit cards, they could send it all over the world no need to have branches all over the world.

[Mvaporis1961]

I think it is not what the creator wants he/she build it for the anonymity of everyone that uses it,
So if there would be a Bitcoin Bank anyone who are going to withdraw from it have to give their real personal information,
And also bitcoin is made to decentralization and privacy of its owner.

[Drago2016]

bitcoin bank should build in large numbers means there are branches in several major cities in the country, provide services, as well as a good management system competitive interest then surely people will believe

I am against any kind of bitcoin bank but if that becomes a reality, I don’t see the point of creating a physical bank out of something that is not physical, it would be easier to create an online bank and if they need to issue physical debit cards, they could send it all over the world no need to have branches all over the world.

I think Bitcoin bank can exist only online. There is no need to build a building in real life.
All the services of the bank can be done without leaving your computer

[jak3]

i don't think we need a bitcoin bank, we already have a lot of banks out there and if you say that you will pay more interest that those then i will say we have a lot of ponzi schemes too and by the way paying loans are alreay the risky part for anything hope you are talking about taking collaterals and giving loans or else you can not stand a day

[vella85]

i don't think we need a bitcoin bank, we already have a lot of banks out there and if you say that you will pay more interest that those then i will say we have a lot of ponzi schemes too and by the way paying loans are alreay the risky part for anything hope you are talking about taking collaterals and giving loans or else you can not stand a day

I agree as banks are built on a ponzi and we don't to see that happen with Bitcoin. Banks are greedy and just rip everyone off so I would like to see Bitcoin stay the way it is now because if there will be a Bitcoin bank I'm sure there would be a lot of greed going on and will be hard to trust as I don't trust banks now.

[Kasabus]

i don't think we need a bitcoin bank, we already have a lot of banks out there and if you say that you will pay more interest that those then i will say we have a lot of ponzi schemes too and by the way paying loans are alreay the risky part for anything hope you are talking about taking collaterals and giving loans or else you can not stand a day

Banks will surely operate the same scenario like regulated fiat banks and I don't see there is a difference anymore which we are looking. If bitcoin is controlled by the government it could only be incorporated with current banking system and no way it is be more dominant than fiat.

It will only be use as payment system to increase the speed of transactions and when we are willing top adopt, we will have to surrender the benefits we are enjoying with the current no banking system which is we are only relying with exchange sites. Our accounts then will be audited from time to time and the risk of our accounts to be freeze will likely to happen.

[Chikito]

already widely implemented with bitcoin bank system, but the rejection of its own in bitcoin by implementing blockchain system. the appearance of bitcoin itself is the beginning of the rejection of the bank system. but many people are forced banks in bitcoin system in order to be accepted kalayak common, and many altcoin that implements the bank system in cryptoccurency .

[danherbias07]

already widely implemented with bitcoin bank system, but the rejection of its own in bitcoin by implementing blockchain system. the appearance of bitcoin itself is the beginning of the rejection of the bank system. but many people are forced banks in bitcoin system in order to be accepted kalayak common, and many altcoin that implements the bank system in cryptoccurency .

Well any way the bank will do it, it will still be called an altcoin for us. That is just the way it is. Bitcoin will be the best one and they are still just going to mimic it. I dont say it is not good but if for them it can hasten the transaction they are doing then why not.
I woud still prefer bitcoin than it. Maybe I will have a bank account but will never invest to the ome they will create. Problem is if they force their users.

[JANGKRIK BOSS]

already widely implemented with bitcoin bank system, but the rejection of its own in bitcoin by implementing blockchain system. the appearance of bitcoin itself is the beginning of the rejection of the bank system. but many people are forced banks in bitcoin system in order to be accepted kalayak common, and many altcoin that implements the bank system in cryptoccurency .

Yeah right, I agree the existence of bitcoin because it avoids the complicated system of the bank. the existence of the bitcoin should be a distinguishing feature of the financial system, and I think the bitcoin system is already good and no need for bank.

[TastyChillySauce00]

i don't think we need a bitcoin bank, we already have a lot of banks out there and if you say that you will pay more interest that those then i will say we have a lot of ponzi schemes too and by the way paying loans are alreay the risky part for anything hope you are talking about taking collaterals and giving loans or else you can not stand a day

Banks will surely operate the same scenario like regulated fiat banks and I don't see there is a difference anymore which we are looking. If bitcoin is controlled by the government it could only be incorporated with current banking system and no way it is be more dominant than fiat.

It will only be use as payment system to increase the speed of transactions and when we are willing top adopt, we will have to surrender the benefits we are enjoying with the current no banking system which is we are only relying with exchange sites. Our accounts then will be audited from time to time and the risk of our accounts to be freeze will likely to happen.

"Banks will surely operate the same scenario like regulated fiat banks", I don't agree with this point, bitcoin is not something that can be easily controlled by regulations and law while cash exists because of those two.
The incoming banks for bitcoin themselves (if it's going to be realised) will automatically adapt to bitcoin and that bitcoin which they could control is what they have in their storage and it depends on the users who just moved their bitcoin to the banks.
It's right that the bank will be able to freeze or hold some accounts that are being suspicious and probably break their regulation upon user agreements as usually been asked in the first place, but the rest which outside of their coverage, I don't think so.

[Xester]

I think it is not what the creator wants he/she build it for the anonymity of everyone that uses it,
So if there would be a Bitcoin Bank anyone who are going to withdraw from it have to give their real personal information,
And also bitcoin is made to decentralization and privacy of its owner.

Bitcoin banks can only exist if bitcoins price will stop increasing and will became stable and fixed. But it is a long time to go before bitcoins price will be stabled. Possibly bitcoin price will reach 100 million dollars each before it can be stable in value. If that time comes it will be the moment that banks will accept bitcoin or companies will create a bitcoin bank.

[romero121]

Bank of bitcoin is required for a a better spreading. Only through bitcoin banks it is easy to reach people who lack in technology. Now a days several banks and financial firms have started to invest much on several hyperledger projects based on blockchain technology for the future when everything goes digital.

[xuan87]

No I don't interested at all, I used bitcoin to escape from the government control and be able to make a transaction without need to reveal my identity, if I want to treat bitcoin as a fiat and save my money in the bank, then I would just used fiat, because there are no points of having bitcoin if there are party that could control and supervise your money

[Chikito]

already widely implemented with bitcoin bank system, but the rejection of its own in bitcoin by implementing blockchain system. the appearance of bitcoin itself is the beginning of the rejection of the bank system. but many people are forced banks in bitcoin system in order to be accepted kalayak common, and many altcoin that implements the bank system in cryptoccurency .

Well any way the bank will do it, it will still be called an altcoin for us. That is just the way it is. Bitcoin will be the best one and they are still just going to mimic it. I dont say it is not good but if for them it can hasten the transaction they are doing then why not.
I woud still prefer bitcoin than it. Maybe I will have a bank account but will never invest to the ome they will create. Problem is if they force their users.

there is no compulsion in some altcoin, and some dev write captions, regulations and policies that have been made dev. as altcoin and bitcoin users should read the rules, and if there developher or publishers who wish to apply banking system should have explained at the beginning, and users understand fully what has been set dev or a publisher.

[Gameroid]

bitcoin bank should build in large numbers means there are branches in several major cities in the country, provide services, as well as a good management system competitive interest then surely people will believe

I am against any kind of bitcoin bank but if that becomes a reality, I don’t see the point of creating a physical bank out of something that is not physical, it would be easier to create an online bank and if they need to issue physical debit cards, they could send it all over the world no need to have branches all over the world.

I think Bitcoin bank can exist only online. There is no need to build a building in real life.
All the services of the bank can be done without leaving your computer

i myself not in favour of bitcoin banks. i think the wallet system is enough for us and by banks the anonymity property of bitcoin will disturbed.

[jovs]

bank of bitcoin without transaction cash fiat money is ready, dekstop wallet or online wallet is same bank in fiat money
but if you want bank of bitcoin must build office, and can direct cash fiat money in bank of bitcoin i think is very dificult and imposible
you must understand, many people like bitcoin because anonymous without verified ID

Thinking of such a banking system for bitcoin is good. But as you said, we can do our own transaction in bitcoin so we have privacy and choice to what are we going to do on our bitcoin. So if there is going to have a bank i gues it best uf its for converting bitcoin to money or even having a credit card for us to buy things and stuff on bitcoin.