Different between Cryptocurrency and Banking sectors

[SHAWN-MIDWAYS]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

There's much difference better banks and cryptocurrency. If you want to double your money fast you can 
Deposit your money in blockchain by buying some coins. Where banks take sometimes to double your money
But about taking risk Cryptocurrencies are always in the top there are huge chances of losing money where banks keep your money save

[1714037580]

1714037580

[1714037580]

1714037580

[1714037580]

1714037580

[1714037580]

1714037580

[1714037580]

1714037580

[davinchi]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

I’m sorry to say that you don’t even know what you’re saying. When you’re putting your money into cryptocurrency like Bitcoin you’re investing it and not saving it. There is difference between saving and investing. Our main purpose of going to banks is to save our money, we have no intentions of making extra profit or whatever.

Banks offers services to you, and those charges and other related sort of things are ways for them to get money in paying their staffs, maintaining the bank and handling other costs etc.

[timerland]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

Not really. Bitcoin does not give you any interest. If you buy into bitcoin then you are generally hoping that it would go up in value over time.

Though, that's not to say that bitcoin is not a good investment. Banks obviously do give you interest, but it in fact, it's probably one of the worst investments you can make at this moment. This is because of the fact that bank interest just don't keep up with what inflation is taking away from your balance.

Bitcoin on the other hand is a store of value, much like gold. The amount in circulation is always controlled, and this can't be changed from a central point. So that's why over the long term, even if demand for bitcoin stays stagnant, bitcoin would be an excellent store of value in contrast to fiat, even accounting for interest.

[MadisonWood1212]

The difference between banks and cryptos is that central banks can control the denominations of currencies that they can raise or lower them. Daily transactions must go through the bank, and your personal information will be publicly disclosed to the outside, will not be private for yourself. As for Bitcoin, your transactions will not be subject to any transaction fees, if any, just a few. Your information will also be hidden. Operations will not be subject to any control by the bank and the government.

[Ridwan Fauzi]

But morally saving money in a bank will make your life a little more comfortable, there is nothing you need to worry about losing your money in a few seconds. Inflation is not a major factor in the losses that will be faced when investing in a bank.

And cryptocurrency, I have never got an answer from a friend who has successfully earned a lot of money on the cryptocurrency that cryptocurrency does not have a big risk, I will bold big risk, is that mean the life of a person will not be comfortable when having an investment in cryptocurrency, especially with the amount of money very large. Even though, the feeling of big risk that is felt will be lost when getting profit, the fact that always happens.

[henmark]

cryptocurrency is digital assets stored with hardware wallets  we can expect in the coming future cryptocurrency markets will be the main form of money transactions  same like banking sectors

That is right about the expected future of crypto. We would have a system, decentralized, and could be use across the world in almost all the countries. Besides, it might change the banking sector to a huge extent and would affect the whole economy for the Solow growth model endorses the role of technological innovation in the growth of economy when all the factors of production are fully employed.

[coinplus]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

Cryptocurrency is a currency, whereas banks are a business. Well basically that is it, that is the difference. If you really want to know more in depth differences one helps you out in a very bad inflation market where almost all currencies devalued while it gets higher because of it, the other just lets you draw loans which currency can't do, you can own as many bitcoin as you want however you can't get a loan from it, banks can give you loans tho, which is quite helpful if you really in a bad situation that could be helpful, I did get a loan once in my life that I paid for my interior of my house which I slowly paid of.

Aside from these two huge difference, nothing major that can't be explained "one is currency, the other is a business". But unfortunately we are being struck with those centralized system which is honestly not valuing our hard work and saving habits due to its inflationary supply. It is time to understand the pitfalls of our traditional fiat system and must switch over to a new system which is having the capability of rewarding if we save them.

[jatin729]

when you heard bank sector vs bitcoin one thing might came into your mind decentralised and centralised. yes bitcoin is decentralised and banks are centralised.
1. In banks we have savings account, current account and stuff but blockchain technology we have wallet with private key which has more convenient than banks.
2. Bitcoin is used for borderless transactions without knowing any authority.

[Nisharawal]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

Yes, i personally think that now in today's highly volatile market conditions it is a bad idea to save your money in the saving bank account and i would rather go and invest in bitcoin and gain more profits than saving it in a bank account as the profit potential is much higher in Cryptocurrency market than saving account. I will also choose cryptocurrency like Ethereum, Litecoin, Ripple, and many more high potential coins.

[tothanhtuan]

 When it all comes down to it, it’s all about bitcoin, whether we like it or not. Institutions are not interested in anything else imo, all the financial products in the pipeline (like the etf and futures etc) are for btc, not ripple, cardano or anything else. Fiat pairings won’t be the saving grace you hope for. If sentiment is lost in bitcoin, it’s game over for all crypto currencies, that’s just the way it is.

[ajqjjj]

Savings in the bank you will be guaranteed that always be profitable even if the numbers are low. And you invest in cryptos, you are playing the risk, it may be profitable for you high, but also it will lose. So profits will come to you not only not guaranteed can also lead to big losses.

Banking sector is the best secured platform in nowadays but actually Crypto investment is secured investment because long term investors never loose the investment so profit and risk is reduced in long term investment. Cryptocurrency is completely transparent investment so all investors are interested to participate in Crypto.

[lester04]

There was a big difference between cryptocurrency and banking like if you invest your money in banks the profit you will gain in long time investment is a bit of money and if you invest your money in crypto the money you have invest can be doubled or tripled and could be a lot more but you should pick a good crypto first to have profit.

[Lagrood]

Actually you are right a bank deposit gives ridiculous small income which is not even enough to cover inflation. Well, holding money in a bank deposit you lose because their buying ability decreases faster than your deposit is capilalized that is why every smart people understand that it need to manage your own money not to lose them. Crypto currencies is risky assets but using them everybody can be an investor and to manage own money.

[Tylev]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

In my country, banks give an average of 15-18, and even 21-23 percent per annum, for depositing money. This, in principle, a good income, even given the small inflation. This, after all, is stable and guaranteed profit. If the bank is a state bank, profits are guaranteed by state assets, and if the bank is commercial, then there is a guaranteed deposit fund from which money is returned to depositors if the commercial bank goes bankrupt. True, the guaranteed amount of payments is about 8-12 thousand dollars. However, vseravno, a guarantee of return is.
If you have invested your money in the crypto currency, you are fully responsible for their safety and assume all the risks of their loss. And there are a lot of such risks. And their own mistakes, and hackers, and just the riskiness of crypto-currency investments. Here you can make good money, and you can lose everything.

[Mahanton]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

Yeah, i do agree with that but can you also state about the risk factor? We do know that if theres a higher return it would have the same level of losing factor which means it isnt still appealing on most people.
We do see the opportunity but it depends of a certain person if the he can embrace such risk.

For the topic title question.

Bank sector= Centralized
Crypto= Decentralized

They are fully different.

[thetruth123123]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

I would rather do, which I am actually doing, diversifying my savings into several spheres as banks and regular money storing in the house, gold and of course cryptocurrencies, right now I have put that much effort into cryptocurrency.

[SimpleBitMaker]

Saving money in a savings account is like putting money in a pocket with holes. Banks only give you interests that are lower than the inflation rate. It‘s how they make money. You are better off investing in ventures (Crypto currency) that give a return higher than the inflation rate.

In my country, banks give an average of 15-18, and even 21-23 percent per annum, for depositing money. This, in principle, a good income, even given the small inflation. This, after all, is stable and guaranteed profit. If the bank is a state bank, profits are guaranteed by state assets, and if the bank is commercial, then there is a guaranteed deposit fund from which money is returned to depositors if the commercial bank goes bankrupt. True, the guaranteed amount of payments is about 8-12 thousand dollars. However, vseravno, a guarantee of return is.
If you have invested your money in the crypto currency, you are fully responsible for their safety and assume all the risks of their loss. And there are a lot of such risks. And their own mistakes, and hackers, and just the riskiness of crypto-currency investments. Here you can make good money, and you can lose everything.

Those rates are higher than the current inflation rate? How can banks afford to give such high returns? Most banks are giving returns on fixed deposits that are slightly lower than inflation.

Yes, the important part about this is the risk. Risk is much higher with crypto so naturally, returns have potential to be much higher as well. The current fluctuations between 6-8k are evidence enough of that. If you just get on while it's low and don't use leverage, it won't be risky though. Even for the riskiest assets, the risk is only as much as you allow it to be.

[coinhunt]

First of all, cryptocurrency allows you to remain anonymous. In opposite to banks, cryptocurrency is independent from any government. You do not need to go to a special institution to put crypto on a card or transfer it to another account.

[tepakpak]

yes that is very true, crypto is a suitable investment place because there are no interest rates, in contrast to banks that take years to get multiple profits and interest rates.

[lightcar]

If you own crypto you are in complete control of your money and no one can take it away.  If your money is in the bank, the government can freeze your money anytime they want for any reason.