The future of banking industry in blockchain

[meliodas]

Banks may well adopt blockchain tech for their own purposes, but they aren't going to create anything like bitcoin.  Anything they use a blockchain for will be completely centralized and against the spirit of other cryptocurrencies like bitcoin.  They probably won't even create any coin at all but simply use the distributed ledger aspect for bookkeeping purposes and they might employ smart contracts too.

And let them do it.  I'm all for it, but nobody ought to think that anything the banks do will be in competition with bitcoin, because it won't.  Blockchain tech and bitcoin are related but separate things when it comes to the banking system.

Of course, when a particular bank is creating their own coin, it is completely centralized.
That's how they can fully control its distribution.
But the thought that banks are creating their own crypto coin, means a lot already.
It translates to the fact that they do believe the advantages of blockchain technology to improve their system.

You are right. It is a good sign that the financial institutions are now trusting the technology behind cryptocurrencies and even though they are creating their own cryptocurrency which is centralized, it is still a good thing for me because at the end of the day, people will still explore the world of cryptocurrency and once they discover the decentralized cryptocurrencies, they will definitely choose the decentralized ones compare to the private cryptocurrencies of the banks.

[Webetcoins]

We have been seeing banks announcing they are going to use blockchain but I think its not up to them to decide whether they can use blockchain as its all up to the central bank. Non of them right now are using blockchain even when they claim they are using XRP. What they could do though is just like what JP morgan did, release their own stablecoin.

The central bank of any country needs its government to allow them for any change. Private banks do not depend on the government but still, they require its permissions in some matters. China has already announced its plan for blockchain and bank. It is going to release its very own digital currency. Once that happens, the whole world will start focusing on creating their own digital coin. Just wait and watch.

[Memminger]

Banks may well adopt blockchain tech for their own purposes, but they aren't going to create anything like bitcoin.  Anything they use a blockchain for will be completely centralized and against the spirit of other cryptocurrencies like bitcoin.  They probably won't even create any coin at all but simply use the distributed ledger aspect for bookkeeping purposes and they might employ smart contracts too.

And let them do it.  I'm all for it, but nobody ought to think that anything the banks do will be in competition with bitcoin, because it won't.  Blockchain tech and bitcoin are related but separate things when it comes to the banking system.

Of course, when a particular bank is creating their own coin, it is completely centralized.
That's how they can fully control its distribution.
But the thought that banks are creating their own crypto coin, means a lot already.
It translates to the fact that they do believe the advantages of blockchain technology to improve their system.

You are right. It is a good sign that the financial institutions are now trusting the technology behind cryptocurrencies and even though they are creating their own cryptocurrency which is centralized, it is still a good thing for me because at the end of the day, people will still explore the world of cryptocurrency and once they discover the decentralized cryptocurrencies, they will definitely choose the decentralized ones compare to the private cryptocurrencies of the banks.

Why would you think so? In what way did it make you think that they would choose a decentralized ones? In my opinion, banks would use the blockchain technology in order to process the transactions much faster but I think that it would not be popular commercially due to being a centralized network. If they would use cryptocurrency as way to process transactions much easier then they should just choose a stable decentralized cryptocurrency.

[SummerBliss]

Hey.
Yesterday I read an article about banks that began to use blockchain and there was pretty impressive list.
They're also described successful cases of using blockchain in banks (if you're interested - here's the article), so I may assume that using blockchain in bank's system is only a matter of time (and money, of course).

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

Certian banks have earlier shown their interest in adopting blockchain technology as it is revolutionary and banks have to be updated with the latest technologies to provide good services to customers.This would be great if they approve it as cryptocurrencies can also get its support and benefit as they are financial services of nation and governmemt would permit its usage.But on the other hand it is quite technical and banks might fees hesitated to use it or implement properly in their system due to which they follow traditional methods as they are less transparent and they have faith over them.

[Williams_Leo]

I think indeed more banks are starting to look at blockchain technology because maybe banks also realize that blockchain has the technology that banks need because it involves the big data owned by the blockchain that is able to record all transactions safely and create very safe transactions.

Although actually banks can be helped by the existence of blockchain technology. I am not sure that the Bank will fully support. we just see that now the bank's negative view of crypto has not disappeared. they think that cryptocurrency has many problems and also large crimes that they often associate with terrorism

A lot of evidence has shown that blockchain technology really has a lot of useful help for banks but exactly as you say, banks receive information from the government, blockchain technology has become a bad point and negative for their system, they seem to have no intention of applying. Plus, blockchain technology is not an overwhelming technology, it is a little useful, many other technologies have been developed by banks and corporations associated with them, which show more advanced features than blockchain technology, this has said that the bank will not rely on blockchain in the future

[SaShiRaJaVu]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

For any company or banks to implement a new technology you need to have a thorough understanding of the system and you cannot implement all of a sudden and majority of the technology companies are learning about the opportunities of blockchain for a long time and if the banking sector find it useful for their business then they will implement it

The blockchain technology is one that should be emulate to make the banking sector easier and transparent. Though, any banks who are seeing the Blockchain as a threat has something to hid and fears accountability and transparency.

There is no way a bank could fear about its accountability because you cannot fake the credits, they might view the virtual currency as a threat but in the future all the banks will be implementing blockchain to make things transparent and convenient.

[alyssa85]

Of course, when a particular bank is creating their own coin, it is completely centralized.
That's how they can fully control its distribution.
But the thought that banks are creating their own crypto coin, means a lot already.
It translates to the fact that they do believe the advantages of blockchain technology to improve their system.

It's expensive for banks to create their own currencies - and there is the problem getting people to adopt their proprietary currency rather than other decentralised currencies.

I think what will happen is that banks will use existing cryptocurrencies and even mine existing cryptocurrencies. They'll use whatever has maximum adoption - remember banks make their money on fees and on lending - it doesn't matter too much to them what currency they're using.

[Eclipse26]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

Probably longer than bigger banks. But not because they can't since they're just small. They also have to monitor the demands and population of people demanding for blockchain technology. Since they're small banks, the demand would not be that big compared to bigger banks. But even big banks, still cannot adopt blockchain technology. They're still reluctant about blockchain. They could still function just like the tradition even without adopting the technology.

[carter34]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

For any company or banks to implement a new technology you need to have a thorough understanding of the system and you cannot implement all the all of a sudden and majority of the technology companies are learning about the opportunities of blockchain for a long time and if the banking sector find it useful for their business then they will implement it.

Of course blockchain will be helpful to banks even growing banks that are not established already. It will help them to secure data and security information that are already stored in their system. Blockchain technology is already being used in certain places and banks shouldn't be an exception.

[Wintersoldier]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

For any company or banks to implement a new technology you need to have a thorough understanding of the system and you cannot implement all the all of a sudden and majority of the technology companies are learning about the opportunities of blockchain for a long time and if the banking sector find it useful for their business then they will implement it.

Of course blockchain will be helpful to banks even growing banks that are not established already. It will help them to secure data and security information that are already stored in their system. Blockchain technology is already being used in certain places and banks shouldn't be an exception.

We can base our point in this article: https://cryptocrunchapp.com/news/china-launches-blockchain-based-identification-system-for-smart-cities
where china based their identification system to blockchain technology. This implies that the future of the banking system in keeping up the records especially the identities of the people will be safe and secured through blockchain technology. Though they didn't apply it to banks yet, we can expect that blockchain technology will not just make each transaction secured, but to keep the people safe as well.

[White Christmas]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

Maybe because there are still large banks that are not regulating blockchain and that's why some smaller banks didn't regulate the blockchain also. There would be a chance that if all the large bank system start to regulate the blockchain in their system then maybe all of the banks including those smaller banks will regulate and follow it. Another one reason is because the smaller banks are afraid to used blockchain because they still don't know what is the use of this into their banking system and etc.

[Genemind]

As for me, banks don't see blockchain as a treat anymore but a pathway to successful and instant transactions. The collaboration of the blockchain technology and the banking system is actually beneficial for both parties. I believe that if more people will be aware of crypto, more banks would still adopt it in the future 

[clickerz]

If this was the case, banks would be already actively working on it, they would show some prototypes, make network tests, create joint groups and so on - but there's nothing like that now. All we had in these years is just a few banks saying that they are interested in blockchain and nothing more. Maybe it all was just a stunt to boost their image, as blockchain was very hyped in 2017. Anyway, blockchain has to prove itself on a smaller scale first, but it failed to do so for many years already.

There might be possibility that they are already working on it but not explicitly showing the whole world about their progress. We don't even know that in our everyday lives we use banks that are already utilizing blockchain technology like what we have in our country. We are backed by the government, not much topics concerning blockchain and crypto but there are apps that allows us to transfer money from banks to crypto wallets. Even our fiats utilizes the blockchain technology already.

I think there are already financial institution that are tsting and deploying the blockchain technology on thier system. Last time I rad the JP Morgan which is developing thier own cryptocurrency. I know more will follow and some are  already deploying their syste.

re: JP Morgan, you can read here
JP Morgan is rolling out the first US bank-backed cryptocurrency to transform payments business

[airdnasxela]

Banks will also end up using blockchain technology in the long run. But right now they are just being in denial about that banks can benefit from it when they adopted blockchain technology already.
Since cryptocurrency is attached to blockchain, and they dont want crypto, that's why they still dont want blockchain. But if blockchain get enough more attention, they will also adopt it. Right now, they don't want to accept that this technology can alleviate people's lives.
Smaller or bigger banks can, they just don't want to.

[GideonGono]

Bank and blockchain have the same concept where to safety for member assets, almost people want to save their money in the bank because how safety their money but adopt blockchain as banking system can give benefit way with increase money for bank member, they not only get safety saving money but also their assets will increase higher if using blockchain adoption.

The difference was the blockchain can increase and decrease your asset while in the bak you have a sure interest but it is only a little amount of interest.

It is better to put your token if it is good for long investment better than a bank.

[doomloop]

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

For any company or banks to implement a new technology you need to have a thorough understanding of the system and you cannot implement all of a sudden and majority of the technology companies are learning about the opportunities of blockchain for a long time and if the banking sector find it useful for their business then they will implement it.

There are many big companies or brands that understand crypto currencies of blockchain technology in detail and even are investing into digital money. As far as banks are concerned, I am pretty sure all banks are aware of blockchain technology because they are already dealing in stuff that is related to economy or in short money. I am sure there will be banks in future offering their services to crypto users.

[vintages]

As for me, banks don't see blockchain as a treat anymore but a pathway to successful and instant transactions. The collaboration of the blockchain technology and the banking system is actually beneficial for both parties. I believe that if more people will be aware of crypto, more banks would still adopt it in the future 

I personally don't think Blockchain is a threat to the bank but Bitcoin.
The blockchain technology is one that should be emulate to make the banking sector easier and transparent. Though, any banks who are seeing the Blockchain as a threat has something to hid and fears accountability and transparency.

[Xxmodded]

As for me, banks don't see blockchain as a treat anymore but a pathway to successful and instant transactions. The collaboration of the blockchain technology and the banking system is actually beneficial for both parties. I believe that if more people will be aware of crypto, more banks would still adopt it in the future 

Banks may see crypto just a faster mean of transferring money but they cannot ignore its potential of increasing their wealth as well. If banks themselves are holding bitcoin or even they are offering customers trading with clients’ crypto  and taking certain portion of profit, I don’t think so this will cause any economic loss to banks. In short, banks joined with cryptos can change the whole world economy and make it more stable.

Bank can transfer faster but not the same with how faster using bitcoin and altcoin, if bank adopting with blockchain technology we can transfer money to other country just few second, if using bank transfer we need more than one day for receiving money to other country, but not possible if bank want to adopt blockchain technology because bitcoin and altcoin not have stable coin price.

[zhekinsp]

Bank can transfer faster but not the same with how faster using bitcoin and altcoin, if bank adopting with blockchain technology we can transfer money to other country just few second, if using bank transfer we need more than one day for receiving money to other country, but not possible if bank want to adopt blockchain technology because bitcoin and altcoin not have stable coin price.

First you need to understand that anyone can implement blockchain technology for their services like transaction which is irrelavant to the prices of coins.Banks started using blockchain technology for transaction but not for every transaction,maybe for their internal transactions they were using,it is not going to affect the crypto currency in any way which also using same blockchain technology.

[Fappanu]

Hey.
Yesterday I read an article about banks that began to use blockchain and there was pretty impressive list.
They're also described successful cases of using blockchain in banks (if you're interested - here's the article), so I may assume that using blockchain in bank's system is only a matter of time (and money, of course).

Now, the question: why it takes THAT long the smaller banks to go the same way and start using the blockchain?

Small banks will find it difficult to keep up with the big ones, but I'm sure they will follow the wave and also make way for them to progress. Because if they do not keep up with the wave the big banks may now be able to cover them and this may even cause small banks to collapse and close.