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

[eternalgloom]

They will surely revamp their existing services and integrate the most advanced fintech available just to keep up with the rapid pace of things in this current era. Banks are still a vital part of our socioeconomic lives and even with their outdated systems, they are still taking profits consistently. The move to slowly shift towards the blockchain tech has already begun for some banks, and it's just a matter of time before we see blockchain-powered bank services in the industry which will greatly increase security, reliability and efficiency for the banks.

The thing is that if they start embracing blockchain technology, as you call it, what's to prevent people from just strong everything themselves?
What would you need banks for, if you could just do everything yourself at a fraction of the cost.

Sure, it'll give cryptocurrencies some additional legitimacy, but people would also start to realize that they don't need banks any more.

[Yamifoud]

We considered banks as a storage in which we put our money(fiat) but for using blockchain technology, banks we no longer be used since we can stored our money through blockchain wallet.
If that so, banks still not be needing to embrace crypto if they are no fucntions in these great development.

[panatinaikosx]

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

[xuan87]

I don't think any bank will extinct,even without new technology system the people will still used the bank, it will be great if the bank implement new technology,it will make our transaction easier and more secure, many countries already start to do research on blockchain, and blockchain will make a good collaboration with bank, it will create a good transparency transaction system

[senin]

We considered banks as a storage in which we put our money(fiat) but for using blockchain technology, banks we no longer be used since we can stored our money through blockchain wallet.
If that so, banks still not be needing to embrace crypto if they are no fucntions in these great development.

Banks are not only depositories of our money. Banks maintain current accounts of individuals and legal entities. That is, in fact, the entire business has to document its financial activities in banks for reports to the tax authorities and
an audit. Even if the business wanted to switch to the use of cryptocurrency, it cannot do this, since they need to periodically submit financial and business documents to the tax authorities. As long as the cryptocurrency is not legalized by the state and there are no clear instructions on how to do business structures when using cryptocurrency, they are unlikely to massively switch to its use.
Banks also provide loans for practically everything that needs money, including individual sectors of the economy, industries, large projects, social programs of the state and others. This is a very important area of ​​activity for banks, and without it, the state and society cannot yet. Therefore, even in the future, banks will not disappear, but they will switch to new technologies, including blockchain technology. This is evidenced by the widespread use of ripple coins by banks to replace their outdated SWIFT method for transferring funds.

[xiaoY]

You don't have to worry about banks. Banks represent the government, so they will never disappear. The contribution of the banking industry to human beings is enormous. The cryptocurrency is only a small part of the banking industry. Banks represent the integrators of capitalism and no one can destroy it.

[magneto]

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.

[munareal]

The blockchain technology has bought a paradigm shift from centralization to decentralization. As the world is getting exposed to the importance of the blockchain protocol and its positive effect on our lives. The conventional banks should think of a way to harness the blockchain into their business else it will extinct. There is no running away from the blockchain. It has come to stay and it is the future

[Irvinn]

Banks, of course, will introduce blockchain technology and other advanced technologies, however, even without them, there is no threat of extinction. Banks are now actually part of the state, a state without them can not fully exist. Therefore, the state will protect banks from cryptocurrency, if necessary.
However, apparently, after legalization of cryptocurrency by the state, banks will themselves provide various services in cryptocurrency. Of course, commercial cryptocurrency banks will experiment more.

[Shimmiry]

Banks have to go with the money flow, otherwise they will extinct.
I do not know how they will compete with nearly zero cost for transactions and trustless blockchain technology.

If this is the case, thre is a huge possibility that the banks will have no value at all. We can conclude that it might happen if and only if, banks continusly insist that they havethe capabilities to do so especially to the time where blockchain is on top. But then it might happen soon but not today.

[yitzjoe]

I think it's blockchain and crypto because the decentralization of the system offered will shake banking that is centralized. but the news I received them (the banking) continued to blow FUD and new negative about crypto but on the screen they bought potential crypto to catch up with other crypto holders

[perfect999]

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

In my opinion, Blockchain is no doubt a very good and advanced technology but no bank is going to adapt this technology because they might not be able to earn as much as they are now. Even banks in the developed countries will not adapt blockchain because it is something that talks about the cost minimization and for banks, cot minimization means profit minimization so do the math now.

[zcashplan]

You underestimate the strength of the bank, and the bank is also a giant in all industries. They won't fail with the arrival of cryptocurrencies, they will be used with cryptocurrencies. The cryptocurrency is just a new starting point for the financial industry. But the bank controls the entire cryptocurrency. If the government needs bitcoin to rise to $100,000, it is easy to achieve. Especially the country with strong economic strength.

[Buttermellow]

There was no bank extinction will happen. Banks service has proven on its effectiveness especially in acting as a third party to both parties for the transaction to complete. Besides people could safely save their fiat money on banks. I do believe also that the cryptocurrency that uses fiat conversions will use banks to safely stored the fiat during the crypto conversion.

[Slow death]

it is not possible for banks to go extinct, people seem to be underestimating the power of banks. Crytos are very good and offer many advantages but also have disadvantages

- if the owner of the wallet has 100 btc and dies without leaving the private key or password of the wallet, how will the relatives have access to the bitcoin of that person who died?

If it were in the bank the person would only have to show the document proving that the person died and that he was his relative.

But with cryptos the thing is still very complicated because the wallets are not regulated and they do not have a physical office.

In addition to the fact that cryptos are manipulated and very volatile

the banks will not be extinct, not even 50 years hence, the banks still reigned and will have very high profits.

[Blackhammer321]

Banks have to go with the money flow, otherwise they will extinct.
I do not know how they will compete with nearly zero cost for transactions and trustless blockchain technology.

Probably true. Banks can only use fiat, even though they adopt bitcoin or cryptocurrency. Peoppe will still choose to use blockchain. Banks needs fee to earn for their expenses therefore they donnot have the capability to perform what the blockchain can do.

[Barbarian]

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.

[zeingrind777]

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.

[wuvdoll]

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

In my opinion, Blockchain is no doubt a very good and advanced technology but no bank is going to adapt this technology because they might not be able to earn as much as they are now. Even banks in the developed countries will not adapt blockchain because it is something that talks about the cost minimization and for banks, cot minimization means profit minimization so do the math now.

You think so ? Wait till probably some years’ time and you will see if this would be a thing or not. Blockchain technology is something I believe the government itself all over the world will not be able to run away from and in that aspect of going this way, we all know the level of governance, chances of transparency and accountability will be there, and this is actually what most countries today need.

Now, banks are just moving with the trend and how it comes, so if this becomes a norm, I have no doubt they will just have to follow put. Nonetheless, as some have said, I really still see banks trying as much as possible not to get thrown out to the bin, as they will always find a way to adapt to anything just to keep being relevant.

[LeGaulois]

Fintech and Financial Technology is the same thing. Fintech is the shortening of Financial Technology.

Using technology in our daily life is increasing, yeah. It can be an application, domotic, or whatever but this particular trend about banking online is already here since a decade and there is a real demand actually. (it saves the time of a lot of people, and help others to manage their budget,..)

The retail banking has already started to use this trend. Most banks have their own subsidiary company. At least in my country, it is like this. I can even tell you most neobanks here give you a "bonus welcome" from €50 to €150 just to attract new clients. They understood the need to adapt themselves to the trends, don't worry about that. I am not sure to know any bank here who refused to change over the year.