Bitcoin & Banks

[Olayinka225]

I just think that, a particular software and programming will be created for banks that will link both the bank and bitcon together that will actually easy deposits and withdraw.

[1714175789]

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[akram143]

I just think that, a particular software and programming will be created for banks that will link both the bank and bitcon together that will actually easy deposits and withdraw.

Is Bank accept Bitcoin as a part of their circulation then Bitcoin will be played on most important role for banks in changing the economic that's why banks need help for Bitcoin but it is not happen in today situation if the time except the future will be definitely it's happen

[eaLiTy]

Introducing bitcoins to banks is a good thought as bitcoins and blockchain technology can  make the banking transactions easy all over the world and the customers will be able to enjoy complete freedom of their finances and there will be corruption free land as the transactions are recorded on the blockchain technology and no individual has right to make any changes in the blockchain network.

[Artemis3]

I understand what your trying to say  . yes  both of them are different though people still thinks that bank and bitcoin are the same because bitcoin can be store of value and it can be used as an invesment simillar to what they hear on the traditional banks  but for me , both are actually different because bitcoin is commonly known as a curency while banks are  a company that produces money  .

Banks are not supposed to "produce" money, but the sad truth is that they do, out of thin air! The way modern banks work is pretty similar to a ponzi scheme, its called Fractional Reserve Banking something that would be illegal (and it was until the 20th century) but the banks bought their way thru legislation and its perfectly ok to play roulette with the savings of people...

But people are seriously misled into thinking banks store money (they don't), or that their fiat money is backed into something (its not).

The scheme will hold as long as a sum above the fractional reserve is now withdraw at the same time (see?, just like any other scheme).

So if the bank keeps 10% of the money, that's its limit before going bankrupt. But before that happens, Central Banks to the rescue. Now that 10% would need to be nationwide withdraw, to bankrupt the central bank, but World Bank to the rescue! now in the world 10% needs to be withdraw to bankrupt the entire system... (actually the fraction is different on every country).

If only more people knew about fractional reserve banking... Debt based economies (school of chicago) would crash. Stop trusting banks!

[A7373]

If the banks will use Bitcoin, then they should use the Bitcoin protocol unchanged. For centralization, there is XRP.

[iqlimasyadiqa]

If Bitcoins were introduced in banks, there'd be probably a different protocol made by banks if I'm correct? What would it be like?

If at any time bitcoin is applied in the banking system then it will certainly make a big change. bitcoin can become a pioneer and then be followed by other altcoins. it took a very long time to be able to implement this because if the digital currency wanted to be implemented then there must be full support from the government for the digital currency. Bitcoin can provide variations in the financial system and in my opinion this is a future that will be much safer and have a very high level of flexibility. .

[CryptoKush]

I think Bitcoin is a competitor for banks and they will fight Bitcoin. I also think that they also buy Bitcoin because they want a plan B if Bitcoin hasadoption.

[Janation]

I think Bitcoin is a competitor for banks and they will fight Bitcoin. I also think that they also buy Bitcoin because they want a plan B if Bitcoin hasadoption.

How can they be a competitor to Bitcoin?

We all know that Bitcoin is a cryptocurrency and its value depends on the movement of the market and its investors. Banks are of great help at a country and Bitcoin is not that well. We should not compare these two as we all know they are different and Banks are not looking at Bitcoin or any other cryptocurrency as a competitor, they are looking at it as a good technology that can be used to improve or develop the future transactions.

[Marcsymon]

If Bitcoins were introduced in banks, there'd be probably a different protocol made by banks if I'm correct? What would it be like?

Here in our country we could used the banks withdrawal facilities every time we convert our Bitcoin to fiat in our local exchanges therefore i see no protocol but its just like Bitcoin is will be one of those fiat denominations that can also be easily converted into dollars.

[cellard]

To quote Hal Finney:

Actually there is a very good reason for Bitcoin-backed banks to exist, issuing their own digital cash currency, redeemable for bitcoins. Bitcoin itself cannot scale to have every single financial transaction in the world be broadcast to everyone and included in the block chain. There needs to be a secondary level of payment systems which is lighter weight and more efficient. Likewise, the time needed for Bitcoin transactions to finalize will be impractical for medium to large value purchases.

Bitcoin backed banks will solve these problems. They can work like banks did before nationalization of currency. Different banks can have different policies, some more aggressive, some more conservative. Some would be fractional reserve while others may be 100% Bitcoin backed. Interest rates may vary. Cash from some banks may trade at a discount to that from others.

George Selgin has worked out the theory of competitive free banking in detail, and he argues that such a system would be stable, inflation resistant and self-regulating.

I believe this will be the ultimate fate of Bitcoin, to be the "high-powered money" that serves as a reserve currency for banks that issue their own digital cash. Most Bitcoin transactions will occur between banks, to settle net transfers. Bitcoin transactions by private individuals will be as rare as... well, as Bitcoin based purchases are today.

He predicted the role of banks in Bitcoin, just imagine lightning network and then different competing banks running nodes and users choosing whatever fits better their needs, so it would be as he said, fair banking again (before it got ruined by fiat)

The thing is lightning network is way better than what he ever imagined back then.

[Malam90]

Something very similar to the current banking system where there is no anonymity and decentralization and from the coins that we currently have, I think Ripple fits the description.

Ripple is already connected with bank as it is centralized coin. Bitcoin is not connected with bank yet but blockchain technology already connected with few banks. More banking activities are being introduced with blockchain technology.

[livingfree]

I think Bitcoin is a competitor for banks and they will fight Bitcoin. I also think that they also buy Bitcoin because they want a plan B if Bitcoin hasadoption.

No, they won't fight bitcoin. What the banks can see right now is the blockchain technology not bitcoin itself. And if they see that their banking system fits bitcoin, they would adopt it but I'm thinking how they would use it? as creating our wallets can be done by ourselves alone.

They aren't afraid of bitcoin, it's either they will embrace individually or hates it much but they won't compete with it.

[bp124]

Banking Sector has play Major when it come to money , But the true and matter is that they must accept there is always going to be new technology  in every generation . At first there was no banking sector in the world but now there is bank , in fact when banking started there was no electronics banking but there is ! in the year 2000 i was no bitcoin but now there is ! they must accept the concept and the  technology  and adopt it .. Bitcoin and other crypto Currency is the future of money now that we are in digital world . no body can stop it !!!

[Paashaas]

Like it ore not, banks will be offering Bitcoin services to their cusomer one day.

[sirohige]

if bitcoin is introduced by the bank, maybe the bank will be reluctant to use it even though there are already several banks that use blockchain technology, some time ago there were many pros and cons that happened between bitcoin and banks, but until now it seems like some banks have started to make progress to start using cryptocurrency technology.

[fosco333]

If Bitcoins were introduced in banks, there'd be probably a different protocol made by banks if I'm correct? What would it be like?

Do you mean bank supporting bitcoin ? I think this is likely will hard to happening in the future.
Peoples if already feel convenient using bitcoin or crypto, they will not using central banks and fiat currency anymore.

[funchiestz]

If Bitcoins were introduced in banks, there'd be probably a different protocol made by banks if I'm correct? What would it be like?

Technically, it is not easy to think about Bitcoin and the banking sector together. Bitcoin works with a system that we call completely decentralized. Banking is just the opposite.

[VitKoyn]

If Bitcoins were introduced in banks, there'd be probably a different protocol made by banks if I'm correct? What would it be like?

If it was introduced in banks, of course they will not allow it to become a decentralized cryptocurrency because it cuts all the purpose of the banks which is being the middleman and allowing all people to make transactions directly without the needs of their service. They will change it to a centralized coin and people will still need to provide their information to own Bitcoin, of course they will not allow owning it anonymously because they will not be able to tax people.

[Upgate]

Bitcoin in bank would mean the bank would have to run on the blockchain technology and bitcoin might not be decentralized as it is now

[JohnBitCo]

Like it ore not, banks will be offering Bitcoin services to their cusomer one day.

Bitcoin is very different than fiat and I do not see any possibility of bitcoin and banks being combined. Bitcoin do not need any bank as bitcoin wallets already act as a bank for the people and we do not need anything which controls our bitcoins. Its better to keep bitcoin in our private wallet rather than keeping it in banks.