Banks must adopt new technologies to survive an ongoing “extinction phase”

[The Sceptical Chymist]

Do you think the tech here includes blockchain and crypto?

Not really, though I'm pretty sure banks are figuring out if it would be profitable for them to enter the crypto space and possible ways to do it. 

Banks are not stupid, and they're not going away despite CNBC's use of the media-buzzy "extinction phase".  I don't claim to know much about what's happening in the fintech world, but I'm confident that banks will figure out a way to integrate new innovations into their businesses.  They have the money, power, and experience to do this.

Peoppe will still choose to use blockchain.

You say that as if bitcoin or blockchain technology has been adopted to an extent that people are going to abandon traditional banking.  This isn't true.

The conventional banks should think of a way to harness the blockchain into their business else it will extinct.

You better believe they're already thinking about ways of doing this, although I don't think lack of blockchain adoption by banks will mean their doom.  Again, bitcoin and blockchain have not been adopted by the masses to the extent that people posting in this thread seem to think they've been.

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[audaciousbeing]

https://www.cnbc.com/2018/11/01/fintech-banks-face-extinction-phase-amid-new-financial-technology.html
Rapid changes in financial technology, or fintech, are shaking up the global banking industry.
Banks must adopt new technologies to survive an ongoing “extinction phase” wrought by such tech, according to Stephen Bird, Citi’s global consumer banking CEO.
While new technologies cannot be ignored, bankers say the primary aim is to use them to provide the best service to customers.
Hard figures on how much the new wave of technology has disrupted retail banking are hard to come by, but analysts have stressed that the challenge is real.
Do you think the tech here includes blockchain and crypto?

There is no extinction going on for the banks as far as I am concerned. The only thing they are facing is the continuous alternative way of making payment which is due to the birth of fintech companies but this fintech companies still relies on the goodwill of the banks in other to penetrate as an average man on the street would trust the bank with his money that someone telling him to download an app to carry out his financial transactions.

On technology advancements, I will not be surprised that the reason why we have not heard much from banks on blockchain is that they are waiting for government regulations and they would launch as I am sure they would have been developing something behind the scene.

[PlusOne88]

This could be true and I may agree on this but to say it as absolute is a big no for me. Banks had been there since the old times and with the advent of computers and online transactions it has speed up the process yet transactions that are manual still occur on any bank on any given time, so I believe that changes are necessary but the old ways could still remain.

[ibrayzorhaf]

in my opinion it is clear that crypto and blockchain are meant. where with the existence of blockchain transactions made easy with low costs. very different from banks that have weaknesses in the area.and with the need for changes in banks in various sectors with the existence of blockchain.

[Harlot]

Headline is pretty misleading as what they are referring to an "extinction phase" is there old way of banking and not them as a business being extinct. It is true that they need to adapt after all mobile wallet apps are more convenient than what they are offering with their old system. Also look at their businesses which they lend money to other people, I doubt that cryptocurrencies would hurt their main business with what we have now. If you look at it having a bank business is one of the safest way to be rich as long you have a proper management for it.

[Ozero]

https://www.cnbc.com/2018/11/01/fintech-banks-face-extinction-phase-amid-new-financial-technology.html
Rapid changes in financial technology, or fintech, are shaking up the global banking industry.
Banks must adopt new technologies to survive an ongoing “extinction phase” wrought by such tech, according to Stephen Bird, Citi’s global consumer banking CEO.
While new technologies cannot be ignored, bankers say the primary aim is to use them to provide the best service to customers.
Hard figures on how much the new wave of technology has disrupted retail banking are hard to come by, but analysts have stressed that the challenge is real.
Do you think the tech here includes blockchain and crypto?

In order not to disappear, banks do not have to use cryptocurrency-related services in their activities. It is enough for banks to fulfill their current functions so that they continue to exist. Banks are very much connected with the state, with its authorities and administrations and serve their interests. Therefore, they will exist as long as there is a state.

[BlueStackz]

When you think all banks around the world with adopt blockchain technology? Or this will not happen too soon?

In my opinion, things are not so simple as they look like in the form of theory. There are millions of banks around the world and the US federal bank is one of the powerful one which work to maximize the profit and at times of need, assist the government. A cryptocurrency concept will not be so strong to disrupt the banking system though the small banks do fear the system.

I do agree that banks must adapt technologies but do not think for a while that they cannot survive without the cryptocurrency. The banking network is very strong and this cannot be out kicked so easily.

[Bitcotalk]

https://www.cnbc.com/2018/11/01/fintech-banks-face-extinction-phase-amid-new-financial-technology.html
Rapid changes in financial technology, or fintech, are shaking up the global banking industry.
Banks must adopt new technologies to survive an ongoing “extinction phase” wrought by such tech, according to Stephen Bird, Citi’s global consumer banking CEO.
While new technologies cannot be ignored, bankers say the primary aim is to use them to provide the best service to customers.
Hard figures on how much the new wave of technology has disrupted retail banking are hard to come by, but analysts have stressed that the challenge is real.
Do you think the tech here includes blockchain and crypto?

I realy don't think that banks will be "extinct" any time soon.

Even with blockchain and bitcoin potentially going mainstream in the very near future, it is foreseeable that banks would simply start offering services that integrate these technologies instead of being totally replaced by them like many others have suggested.

To me, it's obvious that banks right now can only stay relevant if they are able to adapt to changes in technological trends, which includes cryptocurrencies. I wouldn't be surprised if banks start using blockchain ledgers to keep internal records in the near future and offer investment packages revolving around crypto as well, in order to suit demands.

I do not even think they will extinct at all. Considering the fact that banks have always known ways to at least play their games effectively and how we are even seeing them come up with some possibilities of capturing the attention of few people who want to be a part of the crypto space but do not know how to, I believe as time goes on, the banking institution will always have a way to stay relevant.

The facilities are already there, all it takes for them is just to blend in and add a crypto related service to one of their features. From my own perspective though, this is one thing I feel would end up happening, which would bring about some level of coexistence in the long run.

[selardkinley]

When you think all banks around the world with adopt blockchain technology? Or this will not happen too soon?

Banks are very prone to getting hurt by the crisis and can not really do something good to shield them selves. Though upgrading the system to crypto might solve some problems.

[jeromix]

This could be true and I may agree on this but to say it as absolute is a big no for me. Banks had been there since the old times and with the advent of computers and online transactions it has speed up the process yet transactions that are manual still occur on any bank on any given time, so I believe that changes are necessary but the old ways could still remain.

There is no absolute decentralized system and there is no absolute centralized system that exist for it does not do good in an organization or a system itself. I do not agree that there is a need for a bank to adopts new technologies to survive. In fact banks will be needed for this new technology to succeed especially doing huge transactions like converting fiat to cryptocurrency and vice versa.

[DedgeDoge]

Yes, I think blockchain and crypto are one of the technologies in question. I think blockchain technology that is decentralized and has transparency will be sought after by everyone rather than conventional bank systems that still use the old method. In addition, cryptocurrencies that are controlled directly by the holder will ignore bankers who are fully controlled by the central bank and the state.

Banks will adopt this technology once it would become spread all over the world. It will take long and longtime but believe me we will see the supremacy of bitcoin after years.

[Janation]

When you think all banks around the world with adopt blockchain technology? Or this will not happen too soon?

Banks are very prone to getting hurt by the crisis and can not really do something good to shield them selves. Though upgrading the system to crypto might solve some problems.

I don't think cryptocurrencies will be a problem to them. Banks are something that is inevitable to exist in a country since it is a great business if you will be looking at it.

As long as there are people using fiat, there will always be banks. Even though people are using cryptos, there will always be people that will use fiat since most of them are not used to use another currency and not that used to technologies and others are not really on cryptos to use on the society as a payment method. I'd stick on an investment crypto rather than a currency crypto.

[Osarman]

I am not really worried about banks, those are some of the oldest institutions around the world and they know very well how to play the game, they understand that they will need to adapt to this new development, but before they do they are going to try to eliminate cryptocurrencies so they do not have to compete but if they can't then they will reinvent themselves.

Yeah, the truth is that they have been through thick and thins, as well as adaptation to evolution over the years, and I do not see this shaking them into a hideout in the long run, as they most definitely will find a way to at least get to adapt to the way things are changing pretty fast.

I am sure they already know a time will come for them to realize there is so much to gain from the new world that is coming and as long as they are able to keep rendering a service within this space, which I believe there always will be, then, I am sure nothing will stop them from at least making the best of it.

[fasdorcas]

When you think all banks around the world with adopt blockchain technology? Or this will not happen too soon?

In my opinion, things are not so simple as they look like in the form of theory. There are millions of banks around the world and the US federal bank is one of the powerful one which work to maximize the profit and at times of need, assist the government. A cryptocurrency concept will not be so strong to disrupt the banking system though the small banks do fear the system.

I do agree that banks must adapt technologies but do not think for a while that they cannot survive without the cryptocurrency. The banking network is very strong and this cannot be out kicked so easily.

Somehow, I always have this notion as well, considering the fact that banks have existed over the years; and there is a lot more that pertains to banking activities than savings, but we all know savings is a huge part of it.

Moreover, something that has always occurred to me is the fact that even though we may not get to see everyone shifting gears into using crypto, banks will always feel threatened with a competition when it comes to the aspect of people who are well learned and crypto enthusiasts over time, sticking to using their own wallets and being their own banks, and that is some faction, they sure won't want to just let go. So in a way, I believe that will make them come up with something to practically still make them relevant and useful over time when it comes to also benefiting from the crypto space.

[FunGate]

I think decentralized versions of everything will replace the existing structures because they ensure true democracy and trustworthiness.

Decentralized social media platforms, marketplaces, news websites, fintech services. We're at the beginning of a massive overhaul!

[fauzan Ichsan]

I think decentralized versions of everything will replace the existing structures because they ensure true democracy and trustworthiness.

Decentralized social media platforms, marketplaces, news websites, fintech services. We're at the beginning of a massive overhaul!

of course the first to feel it is a bank, because in addition to the blockchain system there is a cryptocurrency, both of which are interrelated. therefore bank must adjust the situation to remain in existence

[YinShuiSiYuan]

I think decentralized versions of everything will replace the existing structures because they ensure true democracy and trustworthiness.

Decentralized social media platforms, marketplaces, news websites, fintech services. We're at the beginning of a massive overhaul!

of course the first to feel it is a bank, because in addition to the blockchain system there is a cryptocurrency, both of which are interrelated. therefore bank must adjust the situation to remain in existence

Banks will certainly deal with this "problem". They will adopt blockchain to their own needs using the existing cryptocurrency experiences. After all, bankers observe what is happening in the world of finance and technologies used there and react to emerging threats or opportunities that they may use for their own purposes.

[mcTether]

With the rapid acceptance of cryptocurrency by the new generation and future leaders, it means the banks may either accept the new blockchain technology, and collapse their businesses into it, or get kicked out in future as their services will be obsolete.

[yusupjatigumilar]

 I think banks do not need to make changes to their work systems, because crypto currencies are not a big problem for them, because people go to banks not only to save or send money, there are many bank services that crypto currencies cannot do such as capital loans, insurance and others, while cryptocurrency can only transfer funds efficiently and cheaply

[futile-resistance]

Yes, I think blockchain and crypto are one of the technologies in question. I think blockchain technology that is decentralized and has transparency will be sought after by everyone rather than conventional bank systems that still use the old method. In addition, cryptocurrencies that are controlled directly by the holder will ignore bankers who are fully controlled by the central bank and the state.

I really do not see any ignoring here at some point. Banks will always be banks and they will know how to adapt to every new technology for their own benefit, take it or leave it.

Sure, there are a lot of policies within the system of governance that holds bank into play, but as time goes on, as more people get to keep adopting the blockchain technology as well as the crypto space entirely, there is no doubt that banks will find a way to figure out how to put themselves as well on the line, rather than sitting on the sidelines.