Can Blockchain Replace Banks?

[NavI_027]

With the blockchain trend going on as strong as the moment, is it possible that blockchain will replace banks any time soon in the future?

It definitely can but the question right now is that will it be? I"m not being so pessimistic here but knowing that cryptocurrency got so many enemies such as the banks, government, businessmen etc. it seems impossible to achieve the worldwide crypto revolution. Even me wasn't convinced by the testimony of an anonymous self-proclaimed time traveller which says that bitcoin will be the the currency used in the whole world on the year 20XX (I'm sorry I forgot the exact year ). I do not believe on his statement not only because he he said that he was a "time traveller" but also because I find a hard time sinking in my mind that all of the nations unite as one and made such decision. For me that's insane, so ideal.

Anyway I still believe on crypto's potentials, but then again its future still remain uncertain.  

[stompix]

Loans can also be work-out under bitcoin, especially if there’s a companies who are willing to do business like this.

Companies that would act just like banks. So what's the change?

what time saying is it already happened now because many people trying to convert their money from banks to blockchain system because of lots of recent and the most important reason is Prophet so that I think in future it definitely possible to beat the banks.

Yeah, the prophet is telling you that you should embrace bitcoin. Paranoia much?

I think blockchain can't do that but wallets of bitcoin could potentially steal some customers. Right now, there are places like xapo or coinsbank or whatever else you want to use and with that you can literally get a debit card that is filled with bitcoin or other cryptocurrencies they work with and than you get to spend it wherever you want like a regular debit card and than you still get to keep the rest of it on bitcoin anytime you want.

See that little bolded part?
You're replacing your bank with another one, but because it has crypto or block or satoshi in its name you think you're replacing banks with the blockchain.
If ING would change its name intro CryptoBank you would all start praising it even if in reality nothing would change.

All those cards you talk about are issued by a bank, just because you load it with bitcoin that get exchanged for fiat it doesn't mean you use anything else. It's still a traditional bank doing the same thing.




 

[dat.ho12492]

If the banks will not adapt to the technological changes of the time, then they will probably be replaced. But then it is not necessary to compare banks with blockchain for this matter because banks could simply use blockchain as well. But if they insist in using whatever old and obsolete banking system they have and disregard the rise of blockchain, they would definitely end up outdated and then replaced with something updated.

With the pressure and demand of people gradually increasing, banks always understand that they need to upgrade and create a better quality if they don't want to be removed, so over time, they will not be replaced unless they are too silly and do not understand the fierce competition in the market. Talking about blockchain technology, many areas have applied it but perhaps this technology is too new, even that it creates too many difficulties in managing and controlling, many businesses and users do not really like its application, the chance for it to compete with banks is not high

[yvesp110]

Loans can also be work-out under bitcoin, especially if there’s a companies who are willing to do business like this.

Companies that would act just like banks. So what's the change?

what time saying is it already happened now because many people trying to convert their money from banks to blockchain system because of lots of recent and the most important reason is Prophet so that I think in future it definitely possible to beat the banks.

Yeah, the prophet is telling you that you should embrace bitcoin. Paranoia much?

I think blockchain can't do that but wallets of bitcoin could potentially steal some customers. Right now, there are places like xapo or coinsbank or whatever else you want to use and with that you can literally get a debit card that is filled with bitcoin or other cryptocurrencies they work with and than you get to spend it wherever you want like a regular debit card and than you still get to keep the rest of it on bitcoin anytime you want.

See that little bolded part?
You're replacing your bank with another one, but because it has crypto or block or satoshi in its name you think you're replacing banks with the blockchain.
If ING would change its name intro CryptoBank you would all start praising it even if in reality nothing would change.

All those cards you talk about are issued by a bank, just because you load it with bitcoin that get exchanged for fiat it doesn't mean you use anything else. It's still a traditional bank doing the same thing.




 

I think it is not possible for banks to survive without blockchain right now and in the future specifically. Blockchain is a decentralized ledger and that really gives people the incentive to keep their money in a wallet that enables them to lower costs and make instant transactions. The arrival of Libra in the market will b ring another revolution of the spread of blockchain and banks would be left with no other option but to adopt the technology.

[koura_cc]

The creation of blockchain came with possibilities and predictions of a future where intermediaries could be eliminated entirely. It is capable of executing millions of transactions within seconds at a lower transaction cost and requires no centralized authorization.

With the blockchain trend going on as strong as the moment, is it possible that blockchain will replace banks any time soon in the future?

More here: https://www.hb-wallet.com/post/2018/12/20/can-blockchain-replace-banks

It's uncertain if it can replace banks, but the fact that the current banking system can actually take this technology and integrate it into itself to make transactions more secure, and exponentially lower their costs, is a reality too.

The defining factor is: what can Blockchain offer over the current banking world order? And given the fact that it's a completely decentralized platform that allows you to be efficient without being approved in a centralized server is certainly a plus. Thousands of people are already using it to send, receive money and even pay for day to day items. The hurdle that blockchain as a technology needs to jump over could be mass adoption and it's a possibility that the solution lies on a worldwide banking environment that mixes the safety the technology provides with the real-world acceptance of paper and plastic money.

[bkbirge]

It can certainly replace some of their function, almost immediately. On the other hand, the oft touted promise of blockchain removing the middle man from any and all transactions is not realistic. Because that would require both sides of the peer to peer transaction to be expert level knowledgeable. This is not going to happen, in for example divorce agreements with lots of property, large real estate purchases, business mergers, etc.

Blockchain is a double edged sword, the freedom it allows requires the users to be far more educated than most of them are now. Because of that middlemen such as banks will always have a place where we give them money in trade for their expertise in shepherding us through the agreement in question. But I feel their traditional role will be reduced for sure.

[Unblock_news]

No, Banks are already and will end up using blockchain technology. But everything is going to be in the backend. They have millions and millions to spend on development, they can just hire the best blockchain developers in the world and start integrating it on their system.

I think with the Blockchain up for some years now they are already developing their own system using it. Development is always a choice and with they have a lot of ways to improve. Digital currencies is the future and for sure, they have their own ways to develop themselves in that time.

Make sense, maybe Blockchain can't replace banks. But banks can implement blockchain technology.

[stompix]

~
 

I think it is not possible for banks to survive without blockchain right now and in the future specifically. Blockchain is a decentralized ledger and that really gives people the incentive to keep their money in a wallet that enables them to lower costs and make instant transactions. The arrival of Libra in the market will b ring another revolution of the spread of blockchain and banks would be left with no other option but to adopt the technology.

Sooner or later we won't be able to take a dump unless we signed a contract with the toilet bowl. /s

Why don't you people understand that banks aren't just about transactions?
You can take loans from a bank, how would the blockchain make loans better? Do you know how much cost would the blockchain reduce compared to a traditional database? How much, half a cent or two thirds?

The banking sector as a mechanism worked perfectly if it collapsed it's because human decisions and those will not be prevented with a blockchain. No matter how many people hate them banks will not go away just because some decentralized database has appeared and everyone is hyped it will do this and that.

[sana54210]

I think blockchain can't do that but wallets of bitcoin could potentially steal some customers. Right now, there are places like xapo or coinsbank or whatever else you want to use and with that you can literally get a debit card that is filled with bitcoin or other cryptocurrencies they work with and than you get to spend it wherever you want like a regular debit card and than you still get to keep the rest of it on bitcoin anytime you want.

See that little bolded part?
You're replacing your bank with another one, but because it has crypto or block or satoshi in its name you think you're replacing banks with the blockchain.
If ING would change its name intro CryptoBank you would all start praising it even if in reality nothing would change.

All those cards you talk about are issued by a bank, just because you load it with bitcoin that get exchanged for fiat it doesn't mean you use anything else. It's still a traditional bank doing the same thing.

I wonder how people could think that it will be possible to create a crypto bank without having an element of centralization in it, who would create a bank for crypto, and then allow it to fully run in decentralized system? How would they make their money and where would they get money to run the ban from? Government allocation? Is it not the same government we are trying to hide our money from so that they will not have access to it and main reason is because of tax.

I am sure this is why many people and many institutional would prefer to use cryptocurrency to operate, but people should not confuse cryptocurrency and blockchain, cryptocurrency created by satoshi only work on the decentralized part of it, blockchain can still be very much used for a centralized system too, and does not mean the project or company is not running blockchain.

[Oceat]

If the government want to they could but the fact that they don't want to spoil the unlimited money supply that they have made secretly that causes fluctuation of fiat, they wouldn't want to replace it at any cost. This is how they control people by locking your account without your knowledge 'cause they have full control of it. And the uprising debt that you owe them just keeps going and going unless you stop putting your money on their banks. This explains why the rich getting richer and the poor getting poorer.

[romecheo]

Receiving payment, sending payment and transfer of funds which processed by the bank, could be process much faster via blockchain, as today, many banks are  adopting this technology.

"The decentralized blockchain structure eliminates overlapping KYC and AML compliance checks (banks share authenticating information), lightens the information burden, and allows banks to disseminate data as it is updated."

https://www.mckinsey.com/industries/financial-services/our-insights/blockchain-and-retail-banking-making-the-connection

https://hackernoon.com/comprehensive-list-of-banks-using-blockchain-technology-97c08fa88385

[iv4n]

Short answer would be, it`s already happening. Like always, who comes first will have more benefits than others, it`s like that in every business. What is interesting is that banks can`t do much without governments, regulations and rules must be met, and that is what I don`t like. I think we love crypto cause it`s independence from that systems, question I need to ask is what will stop us from using decentralized crypto currencies? Will they be able to force us to use this bank blockchains?

[Findingnemo]

Blockchain will replace papers and other data storage srvices not the banks which is used for storage place of money.

Crypto currencies may replace them.

[vintages]

A simple search of this question in this section will give you answers you are craving because this question has been asked many times.

Nevertheless, the answer to your question is No. Bitcoin can not replace the bank but what we are hoping is that they both work together. This is the only way it more adaptation will be worldwide unlike now.

[RealMalatesta]

Crypto exchanges are great for providing services banks could provide as well for investment reasons and wallets like xapo or coinsbank that provides the debit cards and spending anywhere you want basically provides that spending part of banks too.

So all in all we actually have banks in bitcoin already and no it is not replacing banks just yet but it is making some people go away from banks to say the least. A person that is using xapo and debit card of xapo spending it everywhere and putting all his earnings into it basically uses no bank and can be bankless if they want to, that is one person less in the banking world, it will take a looong time before they replace banks but at least we have the concrete proof of it is starting to become bankless and that is at least a good step forward.

[Janation]

Blockchain will replace papers and other data storage srvices not the banks which is used for storage place of money.

Crypto currencies may replace them.

We are peaking in the future but I think this is still early of a topic.

We still have the cards, the platforms, the mobile payments before we even go to these cryptocurrencies. The internet will be trigger the time for cryptocurrencies since decentralization and the internet goes so better together.

[bitart]

Many crypto enthusiasts believes that blockchain and cryptocurrencies will replace banks and run the financial structures someday. Blockchain can be use by all kinds of sectors in economy like banking and finance. Instead of replacing it, blockchain technology will transform the banking industry into more efficient financial institution. So I believe that blockchain is not an enemy of banks but a friendly technology to modernize or disrupt its services in the future.

Blockchain can help banks to give the same service with lower costs (for the bank), because if a lot of inner procedures could be automated in a blockchain system (not bitcoin's blockchain but the bank's own or a country's own blockchain system), this doesn't mean that:
1. people will notice anything about it (if banks start to use blockchain or not)
2. banks will reduce their fees because of the cheaper cost structure (because of the use of blockchain and the automatized processes)
So as long as someone won't be able to create a blockchain based solution that can do everything that a bank could do (lending, credit cards, mortgages, etc...) banks will remain.
This blockchain based solution that will be able to do everything in the future that a bank could do would become a bank sooner or later because AML and KYC....

[TimeBits]

Blockchain

It will replace banks.
It will replace governments.
It will make everyone a judge in their nation.
It will replace the traditional school system.
It will cure diseases in the medical field.
It will be used to calculate a nations supply of goods.

You live in a blockchain of time or duration, if you have not noticed.

[ichai]

The creation of blockchain came with possibilities and predictions of a future where intermediaries could be eliminated entirely. It is capable of executing millions of transactions within seconds at a lower transaction cost and requires no centralized authorization.

With the blockchain trend going on as strong as the moment, is it possible that blockchain will replace banks any time soon in the future?

More here: https://www.hb-wallet.com/post/2018/12/20/can-blockchain-replace-banks

Although the blockchain handles millions of transactions per hour, the transaction steps are really difficult and when we fill in the wrong wallet, we lose all the money. Because at the blockchain, there is no refund concept.
Therefore, we still need a bank. They are intermediaries and ensure transactions are safe.

[bitkanu]

But banks and many company as of now are trying to take advantage what blockchain offers by implementing it in their system. I just can't see it replacing banks in the upcoming time also considering that so many people are still putting their money in those banks anyway. Most of them don't even care how is their money or even the risks involved so it is just kinda hard to imagine blockchain could do that much.