what will happen to banks?

[eagleman]

Since banks profit from fees and blockchain will kill fees, my guess is banks will be negatively impacted.
Some banks are already stepping into the blockchain world.
But blockchain will not bring back the profits as otherwise.
Any thoughts?
Apologies if this is not the right place to discuss.
Thanks in advance.

Why are you worrying about the banks, they will never be gone or out of the league and it's industry is continuous. They are regulated by the government and government is earning from them. Blockchain is a good adoption to them but it doesn't mean that they will have a negative impact about it. The fees you are talking about is with bitcoin and other cryptocurrency. Blockchain is the network that bitcoin is using and it is the one that will be adopted by the banks soon if they want to.

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[plaintiff77]

Banks would still exist even during the existence of bitcoin in the economy. ANTIcipate that they would no longer keep paper money but instead they would already accept crypto currency and thid would be bitcoin. They will accept bitcoin as deposit and they will offrt different features of security.

[deadsilent]

I don't the fees is the main source of income of banks. Banks is the place where the investors and borrowers go. People will deposit money to invest to them and the bank will find a way to make it grow. They will offer loans to borrowers. Also they offers insurance and other service. That's the way banks gets profits. The fees of course is one of their source of income. But it's not their main source of income. So if they use blockchain. I think it's not a big deal. They can get profit from the people's investments. Actually bank now adopts it. They merged to XRP(ripple). But not sure if it will be successful because most of people prefer decentralised system.

[VanDeinsberg12]

Banks would still exist even during the existence of bitcoin in the economy. ANTIcipate that they would no longer keep paper money but instead they would already accept crypto currency and thid would be bitcoin. They will accept bitcoin as deposit and they will offrt different features of security.

They will never leave the paper money, and about to accept the crypto currency it seems to be the antagonis thing that you should consider again about that, Pboc already become the best example about what already happened about the bakn with the crypto currency itself.

[rikybrosh]

Since banks profit from fees and blockchain will kill fees, my guess is banks will be negatively impacted.
Some banks are already stepping into the blockchain world.
But blockchain will not bring back the profits as otherwise.
Any thoughts?
Apologies if this is not the right place to discuss.
Thanks in advance.

maybe some time later we can see some banks are going to Close since we see bitcoin more popular and used by another people in the whole the world. i heard that demands of bitcoin always increase from time to time so it means more people interested in bitcoin.

[Altero]

Actually banks would be affected but cannot totally crash it down. Because  bitcoin doesn't need banks to store their money, instead they banks only as medium of transactions without any fees just like doing cash-out. Since  banks can only generate income from fees in  different transactions in order to survive, that's why they worried about this because it can lessen their income.

[raliyat]

Bank will upgrade their working style and the fees structure according the current situation caused by crypto currencies and in future access of banks by the people will be max reduced.

Banks now itself worried and upgrading themselves.

[soham]

Since banks profit from fees and blockchain will kill fees, my guess is banks will be negatively impacted.
Some banks are already stepping into the blockchain world.
But blockchain will not bring back the profits as otherwise.
Any thoughts?
Apologies if this is not the right place to discuss.
Thanks in advance.

I don't see blockchain killing fees in any way. Every blockchain transaction requires fees to get confirmed, otherwise the transactions will not be completed. So it is similar to banks only. Sometimes, bitcoin fees are higher than bank fees. So I don't see blockchain killing banking companies in any way. Banking system is a century old system and it is deeply rooted in our society. So it is just impossible for cryptos to eliminate the need of banking.

Probably we will see a mixed economy in future where banks will recognize the power of blockchain and adopt that into their system. But that is what we call evolving. I am sure banks will evolve and re-think their strategies in due course of time. But elimination will not just happen.

[dpositMaster]

Blockchain services that aim to distrupt traditional banking still charge fees as they need generate profit. Banks will change and adapt, maybe partner with blockhain projects, but they are not going anywhere.

[muncuss]

you post wrong question. It's about fiat vs crypto no bank vs crypto.
Coinbase, xapo, or other place where you can store bitcoin, i considered them are same as bank.
If crypto get accepted by government, bank will adapt it. Next question is what will happen to bankworker

[machinek20]

Bank is not only getting profit from fee, but it also getting profit from the administration fee and the credit interest and bank is also served the purpose to balance the country economics, so banks will always be fine with or without blockchain

[Razick]

Banks will need to adapt to the new technology. It is that simple. Just because new things come along, doesn't mean banks cannot survive and adapt. The problem comes when they choose NOT to adapt (look at Blockbuster) and then there will be no hope for them. I think they will become more focused on long-term security as people will store paper wallets in safe deposit boxes and trust in the security of banks as opposed to their own homes.

[Sate Jamu]

The presence of bitcoin will never make the bank disappear, just the opposite will be stronger, if the government thwart bitcoin then the bank will soon receive bitcoin so if we save bitcoin in the bank of course more secure and secure.

[rachelia13]

Dude , let me make you understand that Bitcoin is not treated as a currency , but as an investment . And what according to you are banks. It's just a place to deposit or withdraw money and they will give you a certain interest on it. Bitcoin is a very bad currency , its prices fluctuate alot and people will obviously choose their countries currency over Bitcoin and so banks will always be in use no Matter what

Yes I agree with you, bitcoin is not a currency but the investment to get the profit and that profits can be cash out into our bank account, so I think the bank will still exist because transactions such as bitcoin requires the bank for  deposit and withdraw

[sukamasoto]

It's different things that bank save fiat meanwhile blockchain or other online wallet save bitcoin ! It's can't be compare but let say if government decide to legalize bitcoin as legit money, there will be some competition for demand whenever people want to use bitcoin or fiat

[Wingo]

I think banks will not die but rather, the number of banks will decrease because of the increasing use of the blockchain technology. We need banks, it is hard to get rid of it. There are people who don't know bitcoin and who uses bank.

[SummerBliss]

If we go by present news, the Wall Street bankers are already divided on their views on Bitcoin. Where JP Morgan isn't really comfortable, Morgan Stanley seems interested in cryptos. Similarly all over the world banks are divided on their views on cryptos. Cryptocurrencies will indeed effect banks when it comes to investing over saving and global money transfer and bank adopting blockchain tech will help in solving the latter though. But I think in near future, bank will be adopting cryptocurrencies in their systems along with building their own cryptocurrency. Banks might incur some loss due to cryptos in some sector but are not going to fade away because of cryptocurrencies.

[gameK]

If we go by present news, the Wall Street bankers are already divided on their views on Bitcoin. Where JP Morgan isn't really comfortable, Morgan Stanley seems interested in cryptos. Similarly all over the world banks are divided on their views on cryptos. Cryptocurrencies will indeed effect banks when it comes to investing over saving and global money transfer and bank adopting blockchain tech will help in solving the latter though. But I think in near future, bank will be adopting cryptocurrencies in their systems along with building their own cryptocurrency. Banks might incur some loss due to cryptos in some sector but are not going to fade away because of cryptocurrencies.

Yes of course, if more and more investors are investing in Bitcoin . So Wall street bankers will lose much money resources. Morgan Stanley will not be happy with that news, they will try everyway to drown the Bitcoin under the water till dead. Cause bitcoin for now is the impediment for bankers , specially Wall street bakers.

[Cherylstar86]

I think banks will not die but rather, the number of banks will decrease because of the increasing use of the blockchain technology. We need banks, it is hard to get rid of it. There are people who don't know bitcoin and who uses bank.

I also think so because nowadays banks are having bad image due to losses of money from people who have invested and trusted to banks for years. Sometimes, I blame automated teller because there are many experts who are good at changing or hacking passwords from its transaction orders. Especially those people who are saving for a very long time. It is really precious for them to save money because they work hard for it to earn for a living and thinking one day that they will achieve their goals in life. There might be a chance that banks will no longer be good but if the service is well-managed,there won't be problems.

[player514]

Since banks profit from fees and blockchain will kill fees, my guess is banks will be negatively impacted.
Some banks are already stepping into the blockchain world.
But blockchain will not bring back the profits as otherwise.
Any thoughts?
Apologies if this is not the right place to discuss.
Thanks in advance.

It's possible that banks will start limiting their customers in terms of bitcoin usage. I think if they have the chance, they'll definitely try to go for some sort of fees or tax type payments on bitcoin as well. They can't afford to have this de-centralized currency messing up their rates that they are getting from fiat users.