Is it possible to live without banks?

[Chrystora123]

Here are some of the benefits of banking in life;

• As an investment model, which means, derivative transactions can be used as an investment model. Although in general it is a type of short-term investment (yield enhancement).
• As a way of hedging, which means, derivative transactions can function as a way to eliminate risk by hedging, or also known as risk management.
• Price information, which means, derivative transactions can function as a means of finding or providing information about prices of certain commodity goods in the future (price discovery).
• Speculative function, which means, derivative transactions can provide opportunities for speculation (luck) on changes in the market value of the derivative transactions themselves.
• The production management function runs well and efficiently, which means, derivative transactions can provide an overview of the production management of a producer in assessing future market demand and needs.

source: wikipedia/Bank

it's possible (life without a bank) but there must be a better replacement system.  I am sure that in the future Blockchain technology will replace the current banking system but it takes a long time (my prediction in 50 - 100 years)

[yoshka]

Yes, in principle, it is possible (but difficult at the moment). If you live on your own land, you grow your own food, etc. At the moment, we are still involved in the banking system, fiat money.

[Argoo]

Banks play a large role for the normal functioning of the state, therefore, states will never abandon the banking system. People can live without banks, but no government. Therefore, banks will continue to exist in our society.

[Faxmate]

Banks play a large role for the normal functioning of the state, therefore, states will never abandon the banking system. People can live without banks, but no government. Therefore, banks will continue to exist in our society.

Yes as long as the banking system exist, it will always involve in our livings either in minor cases or major, it will always play a role in our society. but the only case is that if the government adopt crypto then there is certainty that society will no longer be involve in banking system. so conclusion is that if the government allowed that crypto then it is possible to live without banks.

[abhiseshakana]

Here are some of the benefits of banking in life;

• As an investment model, which means, derivative transactions can be used as an investment model. Although in general it is a type of short-term investment (yield enhancement).
• As a way of hedging, which means, derivative transactions can function as a way to eliminate risk by hedging, or also known as risk management.
• Price information, which means, derivative transactions can function as a means of finding or providing information about prices of certain commodity goods in the future (price discovery).
• Speculative function, which means, derivative transactions can provide opportunities for speculation (luck) on changes in the market value of the derivative transactions themselves.
• The production management function runs well and efficiently, which means, derivative transactions can provide an overview of the production management of a producer in assessing future market demand and needs.

source: wikipedia/Bank

it's possible (life without a bank) but there must be a better replacement system.  I am sure that in the future Blockchain technology will replace the current banking system but it takes a long time (my prediction in 50 - 100 years)

The pros and cons of living without a bank will always be there. The replacement system needed is a change in the function of the bank itself from "margin oriented" which provides interest from loans and deposits to institutions that are "service-oriented". The goal is only one so that money truly revolves in the real sector instead of settling so that the main function of money as an economic lubricant is truly achieved.

Banking is good but banks are evil. What's wrong is not banking services but the banking system that causes the illusion of debt and money cannot effectively rotate the economy because it accumulates in deposits.

[judaspriest]

for now we can't live without Banks, all the Fiat money that controls them, and Fiat is still needed, if the crypto currency turns into a need then paper money won't be useful and Banks won't be needed anymore, just wait until happened 

[Yatsan]

Here are some of the benefits of banking in life;

• As an investment model, which means, derivative transactions can be used as an investment model. Although in general it is a type of short-term investment (yield enhancement).
• As a way of hedging, which means, derivative transactions can function as a way to eliminate risk by hedging, or also known as risk management.
• Price information, which means, derivative transactions can function as a means of finding or providing information about prices of certain commodity goods in the future (price discovery).
• Speculative function, which means, derivative transactions can provide opportunities for speculation (luck) on changes in the market value of the derivative transactions themselves.
• The production management function runs well and efficiently, which means, derivative transactions can provide an overview of the production management of a producer in assessing future market demand and needs.

source: wikipedia/Bank

it's possible (life without a bank) but there must be a better replacement system.  I am sure that in the future Blockchain technology will replace the current banking system but it takes a long time (my prediction in 50 - 100 years)

The pros and cons of living without a bank will always be there. The replacement system needed is a change in the function of the bank itself from "margin oriented" which provides interest from loans and deposits to institutions that are "service-oriented". The goal is only one so that money truly revolves in the real sector instead of settling so that the main function of money as an economic lubricant is truly achieved.

Living without a bank with pure cryptocurrency is a just a dream. The purpose of cryptocurrencies was clear in the very beginning, it is to be an alternative for fiat when there are some implications on using it and not really to replaced it, not even to eradicate the banks. What these banks could do is to make an adaption to blockchain technology for better financial system, not to make the whole financial system decentralized.

Banking is good but banks are evil. What's wrong is not banking services but the banking system that causes the illusion of debt and money cannot effectively rotate the economy because it accumulates in deposits.

I must agree, this is also most of us in here don't trust the banks. We always see our money in the bank books or any sources but our money is not really there.

Reminds of this old joke, " We trust banks to take care of our money, yet their pens are being tied on their table" 

[Vishnu.Reang]

Banks existed for hundreds of years, and they would remain in existence for the next few centuries as well. Even if you don't need a bank account, the banking services may be necessary for various sectors such as businesses and welfare programs. Even if cryptocurrency replaces fiat currency completely at some point in the distant future, I don't think that banks would cease to exist.

[YOSHIE]

What are your thoughts?

Not yet crossed my mind with the times that are all sophisticated with technology, without using a bank, this would not be normal if living in this day and age.
Except in ancient times, maybe banks are not needed.

Crypto has a relationship with the bank, when conducting transactions, the two elements have their own different work systems, which cannot be separated.

For now crypto is not physical, so it is very difficult to make it as a transaction with lagsung paper money, because crypto is not just Bitcoin, there are hundreds of crypto in this world, if crypto is bought with paper money without using a bank, maybe in this world full of crypto shops / offices, this might not happen.

For example: like a gold shop, if crypto is sold and bought using fiat money without using a bank, this is unlikely to happen, banks cannot be separated from crypto.

[adzino]

No, not really. I mean like why even ask this question, for you know it is quite impossible, at least for now. Maybe in the future, but that future is far away. You are saying "you" as an individual can live without interacting with the bank, but is it actually possible? What if the only store on your block does not accept crypto currency, since their business can't work efficiently without banks? What if they accept cards only?
You are saying people might decide to use "physical cash", when who is going to issue those cash? The Bank.

[ovcijisir]

The problem is loaning money - it can be only trough the banks, loan sharks, family/friends and investors. Banks of course guard themselves from loss trough collaterals and laws.

Life without banks would be possible, but growth of businesses and speed of living would be much lower. By saying speed of living would be slower I mean that you would have to earn money first then buy something like car or apartment - you would have to save money for years before buying and now you can lend money from bank and buy it in month or two.

[Chrystora123]

snip..

The replacement system needed is a change in the function of the bank itself from "margin oriented" which provides interest from loans and deposits to institutions that are "service-oriented". The goal is only one so that money truly revolves in the real sector instead of settling so that the main function of money as an economic lubricant is truly achieved.

agree with this, layman understands "BANK is a place to store money" but in reality, the Bank is functioned as a place to "save and borrow".. The "deposit interest" that is generated is the result of profit-sharing from loans and this really makes the Bank's face look bad.  but if changing the bank system to be "service-oriented" then stakeholders cannot generate greater profits than a system that has been going on for hundreds of years since the Bank was first created..

Banking is good but banks are evil. What's wrong is not banking services but the banking system that causes the illusion of debt and money cannot effectively rotate the economy because it accumulates in deposits.

"The man behind the Gun" (current bank system)

the true moneylender

What these banks could do is to make an adaption to blockchain technology for better financial system, not to make the whole financial system decentralized.

very dangerous to make the financial system decentralized, just look at what happened to the decentralized coins, the manipulators (whales) control them.  Blockchain technology is a driving machine (system) and regulator or supervisor (the goverment) is still needed

[enhu]

If we can just find stores that accepts coins we'll probably live without banks. There are apps that may actually help you do this abut you will still need fiat money. I believe each country has a popular wallet which their apps allows you to sell your btc for fiat and than you can send your fiat money to yourself by a remittance services.

Hard thing to do but claiming the money will need you to fill your info, this will still not allow you to be anonymous though.

[Kasabus]

If we can just find stores that accepts coins we'll probably live without banks. There are apps that may actually help you do this abut you will still need fiat money. I believe each country has a popular wallet which their apps allows you to sell your btc for fiat and than you can send your fiat money to yourself by a remittance services.

Hard thing to do but claiming the money will need you to fill your info, this will still not allow you to be anonymous though.

Of course, when time comes that crypto will be fully legalized by the government, every transaction should never be anonymous. We can really leave the banking system but living life without fiat might be hard for now since crypto is still unknown to those people particularly to those living in provinces and don't have any internet connection there.

[imstillthebest]

The problem is loaning money - it can be only trough the banks, loan sharks, family/friends and investors. Banks of course guard themselves from loss trough collaterals and laws.

Life without banks would be possible, but growth of businesses and speed of living would be much lower. By saying speed of living would be slower I mean that you would have to earn money first then buy something like car or apartment - you would have to save money for years before buying and now you can lend money from bank and buy it in month or two.

so your only concern is lending or loaning money  ? but i see many crypto platforms now also offers a service like this    . 

living without banks is still possible imo   . the reason why banks still here because many people still cant move on or not yet aware that there is already a crypto existing on the online world   .  they think banks is too useful for them so they say things like they cant live without the help of a bank   . 

[mnporter2001]

without banks and central banks the economy will not be able to function properly. Because the bank is a big source of capital for startups and large businesses, without banks, businesses will lack capital and easily die. In the economy, banks play an important role in rational cash flow with reasonable interest rates. and the economy wants to develop well, the cash flow must be strongly circulated. So the bank is playing a very important role.

[Sanitough]

without banks and central banks the economy will not be able to function properly. Because the bank is a big source of capital for startups and large businesses, without banks, businesses will lack capital and easily die.

Not only bank alone, there are lending business who can operate to help the businessman who likes to start a business.
In fact, lending business is not that far in terms of their lending business compared to the bank, they can actually compete if they will and for sure, without bank, they will be profitable and they will be able to drop their interest, so I disagree with your statement.

In the economy, banks play an important role in rational cash flow with reasonable interest rates. and the economy wants to develop well, the cash flow must be strongly circulated. So the bank is playing a very important role.

Lending business without bank would still operate based on the law implemented by the government, if the government will order that this certain percent of of loan will only be allowed, then these lending business has no choice but to follow it as they will still be profitable since the volume of borrowers will increase without banks.

[stompix]

The problem is loaning money - it can be only trough the banks, loan sharks, family/friends and investors. Banks of course guard themselves from loss trough collaterals and laws.

Oh, what a surprise...do you know how loans work on bitcointalk?
[EDU] The Rule of "No Collateral, No Loan" - IGNORE AT YOUR OWN RISK!
Everyone is going to ask for a collateral, nobody is going to give you money for free without first securing a method of getting them back, be it banks or crypto lenders.

Right, I didn't even consider the volatility side but as for the Bitcoin lending industry, seeing how it's currently developed it won't really work.

Let me explain: Currently, if a person is looking to borrow money and try to use a lending platform such as Nex.io, Celsius, or any others he needs collateral. It's almost impossible for a company not yet launched to provide any, otherwise, there is no use to borrow money if the company already owns the funds. Better for the company to sell the collateral and start with it. But as I said companies rarely have collateral, they have perhaps 10% and a money machine idea.

I never understood the lending model on those platforms and I will never will

For example, on celsius, if you want to get 10k$ you have to deposit at minimum for the most unfavorable conditions 2.241805 BTC.
Why would you do that?

[camito]

With the world's economy collapsing, people are looking for alternative safe-haven assets to use in times of turmoil. Interest in crypto has sparked a lot ever since the stock market went on a decline. If people decide to use crypto, precious metals, and physical cash, will it be possible to live a normal life without a bank?

In my case, I'd be willing to exit the banking system in order to have true sovereignty over my money. After all, that's what crypto is all about. If you could live your normal life without the need to ever interact with a bank (having a bank account to make transactions, etc), it'll be a blast. With the world shifting towards the online realm for e-commerce, virtual meetings, and more, it seems likely that people will be using decentralized money more thoroughly. There are still people using credit/debit cards, but that may change soon as Fiat becomes hyper-inflated.

What are your thoughts?

Banks are not just a storage of our money and the receiver of our salary. It doesn't just also help us loan, but offers us a convenient way of having money with great discounts or interest. Crypto, once used, can not exist without a bank. Some banks are now accepting crypto. And for some which are not, let's admit that you will still need physical cash. We may have the pandemic now, which hinders movement and businesses, money still circulates even in small ways. And for most third world countries, it is not possible to donate to poor families some digital currency to help them eat their meal.

[peter0425]

Nope not in our time now,yeah there are several countries that is adopting Bitcoin and other crypto,also with other electric cash like Paypal,paymaya and others.

But the sad part is majority of the the countries around the world has no this policy so it might be harder to spend just electric payments when it is not possible for us?yeah not for now that we can live without banks.