Build a Bank Of Bitcoin

[Eternu]

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 ?

That is the same thing like trust in banks. Trust is something that is earned, and built in time. If you lead your bank honorably I would have no problem leaving my Bitcoins in it. Reputation is most important rule when we deal with banks. Bank without it will fail. So almost everything that apply to fiat banking it will apply to Bitcoin.

[layoutph]

Why should I store my Bitcoin in your so called "Bitcoin bank" if I can simply store it to my trezor wallet? Your bank might have some security flaws and exploits. Bitcoin is created to remove the 3rd party to transact. The only thing I need to do is to secure the private keys, and avoid using infected PC and Laptops.

[CoinFlippo]

No, why? because BTC was build on the fact that people do not trust banks why should we build something like this to put it exactly where we do not want it to be? in a bank or something and with the wallets it is better because it is with me safe and secure.

[avadonne]

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 ?

TokenPay is one that I know that will build a bank for Bitcoin. Though the issue here is being anonymous since like a traditional bank in order for you to have an account, you will have to provide them your identity for their KYC and AML features. So I guess it's a conflict between being anonymous and being identified. But the good thing about having your cryptos in bank is that they are the one who will store and protects your money. So no need for you to worry about being stole it from you.

[Pixyoxx]

Building a bitcoin bank would be possible only on cloud basis. Because the bitcoin itself is available over internet only and isnt tangible. While u may need offices and infrastructures, the basic money i.e. bitcoin will be over cloud only. And that way, the only difference that it will have than present is that people would be earning interest out of it.

On the loan part, for that you will need consent if every depositor that you shoukd be allowed to use their bitcoins for giving them to someone else, which is very unlikely to happen. Letting ones btc being stored is ok, but being used may not go down well with many depositors. They may want a security issued by the bank in their local currency which has to be paid in case of any insolvency or mishappening.

By the way, btc was created to get rid of this control and centralised platform in the first place, and creating  a bank for it is just the opposite. It may not be a good idea alltogether.

[a4techer]

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 ?

Why you need to build a bank for bitcoin or for any cryptocurrency if you have your own wallet for any coins and you can save your money in your own digital wallet so we didn't need a bank for bitcoin and do you think some of the investor trusting a bank that you are building? Your money that you are earning is not a tangible or hard money it is digital money and no need bank to save it.

[Cinemo]

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 don't think it's a better idea if you can see you used it and keep it to our online wallets. And having banks make it more hastle to all the people using it.In some cases it make it posible if the government allow iit.

[Elby]

We need some loyal crypto banks where we safely can sell/trade cryptos for money, more banks are now banning crypto transactions so it is time we leave these banks and get crypto banks, then the other banks will feel the power of consumers when they leave. They just think they can decide for consumers what to do with our money? Wrong, these banning banks will lose in the end.

[pogiparin]

I think it would be risky and a lot of people would be skeptical on investing in you bank because the price of bitcoin is not that stable. If bitcoin prices stabilize, then I think having a bank of bitcoins would be a good idea.

[Cryptophorus Columbus]

The simple idea of a bank for bitcoin is against bitcoin philosophy, as it tries to give the power back to people.

Moreover, you can't really "freeze" bitcoin somewhere, as you do with usual money (the bank's job is, roughly speaking, to keep your money in a safe place, and in the same time to borrow it to other people.

It's difficult to understand how this could be done with bitcoin.

[randyg29]

It is hard to say that you can get a rate 10 for other people in making a bank, I can just give you rate 5 to say that if you will build a bank you should make a branch of banks everywhere in the countries that people can appreciate the bank when they want talk about the FAQ of your bank policies and maybe if you can give a loan you must gather their information of people who want to loan in your bank that can be the best try you can made in your bank.

[Apened]

Why should I store my Bitcoin in your so called "Bitcoin bank" if I can simply store it to my trezor wallet? Your bank might have some security flaws and exploits. Bitcoin is created to remove the 3rd party to transact. The only thing I need to do is to secure the private keys, and avoid using infected PC and Laptops.

You've already got the whole thing of the bitcoin bank idea what will be the significance of its feauture if bitcoin bank will change the way of bitcoins privacy.
Talking about wallets yes its safe if you have your own trezor or ledger and yu haveto do is t protect it from the hackers or even losing it. Bitcoin bank only if it will provide more security and a same based prices without tax will be better but if not it will be a waste of time only.

[dulce dd121990]

If that bank will be established in my country then I may gladly save my bitcoin there not only full saving but maybe only half of my bitcoin money will be saved there.

[pocketfullofpoke]

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 it's gonna be a waste of time to go to your bank just to make transaction or withdraw some of my bitcoins in your bank. If i am living on the other city about an hour ride from my place, that'll be time consuming. I'd rather use online or digital wallet to make payments or buy digital currencies.

[Blogosphere]

Wouldn't building a bank make Bitcoin centralized? Although banks have certain advantages like insurance, being decentralized has equal or if not better advantages since it is virtually unhackable.

[Andrej Peiboski]

My first reaction was "this is a complete nonsense", because bitcoin was create just to allow people to not depend from banks.
But if I think to online wallets, the have in their hands YOUR private key, actually they act as banks (and if they run out of business, you lose all your money)
So, bitcoin banks already exist.

[Wonder_woman]

Building a Bitcoin bank is a very good thing. Instead of just holding your bitcoin for too long and just waiting for its price to grow high but always go down right away, you can store your bitcoin to bitcoin bank for it to increase its quantity and then withdraw it when you want to sell your bitcoin with the price you will be satisfied on. Of course the system of bitcoin bank will be the same as the fiat money`s banks which can earn interest from time to time, then it will be all great.

[shinchan123]

I think establishing a bank of bitcoin beats the ideology and purpose of its users. I mean we are utilizing bitcoin because we want to stay away from conventional centralized banks. Making it centralized would mean transactions and bitcoins will be taxed and regulated. Isn’t that one of the main reasons why cryptocurrency had been developed?

[jaysabi]

My first reaction was "this is a complete nonsense", because bitcoin was create just to allow people to not depend from banks.
But if I think to online wallets, the have in their hands YOUR private key, actually they act as banks (and if they run out of business, you lose all your money)
So, bitcoin banks already exist.

 

Online wallets (at least the reputable ones) are constructed in a way so that you generate your private keys without the wallet service having access to it. So the online wallet service never has custody of your coins because they have no ability to access or move the crypto. Exchanges, on the other hand, do have custody because you send the coins to their address. That's also why you're seeing all these exchanges get regulated now by financial regulators, just like banks undergo regulatory supervision. Regulation increases confidence that the operators are legit and can't run away with funds because they'll be prosecuted for fraud and theft.

[Apened]

I think establishing a bank of bitcoin beats the ideology and purpose of its users. I mean we are utilizing bitcoin because we want to stay away from conventional centralized banks. Making it centralized would mean transactions and bitcoins will be taxed and regulated. Isn’t that one of the main reasons why cryptocurrency had been developed?

Well yes that is the main reason thus, we can't avoid that matter people are too greedy and technology was upgrading even bitcoin bank isn't necessary they will look and find a way to make a bitcoin bank and i am watching for these technologies if someday one might have a good reputation and built a bitcoin bank without changing or disrupting its own feautures. I always believe that technology can do everything nowadays.