Bitcoin to trigger central bank collapse

[jaysabi]

Why can't bitcoin coexist with central banks?

I see a future in which bitcoin acts as an alternative for those who believe that central banking is broken and fractional reserve is ultimately unsustainable.

These people will hold the majority of their wealth on the blockchain, where their wealth is secured by decentralisation. But inevitably there will also be a fiat economy that is only accessible through fiat currencies - and there will be interactions between the crypto and fiat economies through third parties.

Not really sure your wealth is "secured" by an asset that has such extreme volatility.  In reality, almost nobody moves a significant portion of their wealth into crypto.  Almost every significant stake holder either has a small minority in crypto, or came into crypto holdings through minimal external investment and just lucked into the huge price swing.

[Charot12345]

Central banks will rather adopt blockchain and evolve. Bitcoin solely is not enough to solve global problems

Yes, it was right. Crypto or blockchains are already there and the people who adopts it are continously increasing each day so, in order to make the central banks to not collapse on the very far future, they need to adopt it and make some adjustment too.
If the government do not accept bitcoin, central banks will never collapse because it will always be needed.

[Viscore]

Central banks will rather adopt blockchain and evolve. Bitcoin solely is not enough to solve global problems

Yes, it was right. Crypto or blockchains are already there and the people who adopts it are continously increasing each day so, in order to make the central banks to not collapse on the very far future, they need to adopt it and make some adjustment too.
If the government do not accept bitcoin, central banks will never collapse because it will always be needed.

Exactly. The central banks won't be triggered by crypto because its more established than crypto and people will still be needing it no matter what.

However, if the people themselves will stop from using it and chose bitcoin then maybe it might be fully triggered that will cause its collapse. But so far, central banks are still in huge demand so i don't think it will be threaten by crypto.

[AmoreJaz]

Central banks will rather adopt blockchain and evolve. Bitcoin solely is not enough to solve global problems

Yes, it was right. Crypto or blockchains are already there and the people who adopts it are continously increasing each day so, in order to make the central banks to not collapse on the very far future, they need to adopt it and make some adjustment too.
If the government do not accept bitcoin, central banks will never collapse because it will always be needed.

Exactly. The central banks won't be triggered by crypto because its more established than crypto and people will still be needing it no matter what.

However, if the people themselves will stop from using it and chose bitcoin then maybe it might be fully triggered that will cause its collapse. But so far, central banks are still in huge demand so i don't think it will be threaten by crypto.

and i believe that situation will not happen in our lifetime. as it was mentioned, traditional banking system has been established for decades and decades already, so for me this new technology will not trigger the collapse of banking system. they may really adopt the technology to hasten their process, but it will not replace or collapse their system. up until now, the percentage of crypto users vs global population is still very small. though the adoption is increasing but as i said, we may not see in our lifetime that bitcoin or any other crypto will replace the traditional banking system.

[jakdanyel]

If central banks don't start to integrate digital currencies to their system, I also believe that Bitcoin can cause central banks to collapse. It is already obvious that we won't go on with fiat currencies forever. Governments are developing their own digital currencies to get ready for the future. There will be no more fiat currencies after some point. So, central banks can't maintain their existence while only giving place to fiat currencies.

[geegaw]

If central banks don't start to integrate digital currencies to their system, I also believe that Bitcoin can cause central banks to collapse. It is already obvious that we won't go on with fiat currencies forever. Governments are developing their own digital currencies to get ready for the future. There will be no more fiat currencies after some point. So, central banks can't maintain their existence while only giving place to fiat currencies.

Let me ask you the opposite question, why can't we use fiat forever, I don't know what would be a good reason for this question, if you think it's future environment and need more technical, central banks as well as ordinary banks have also provided such techniques, from physical money being transferred to banks and you will have an account with the corresponding balance, all legal and securely managed. Such techniques were born earlier than crypto, and despite the addition of other techniques, fiat is still a condition for updating balances as well as converting some small transactions

[Kasabus]

If central banks don't start to integrate digital currencies to their system, I also believe that Bitcoin can cause central banks to collapse. It is already obvious that we won't go on with fiat currencies forever. Governments are developing their own digital currencies to get ready for the future. There will be no more fiat currencies after some point. So, central banks can't maintain their existence while only giving place to fiat currencies.

I don't think central banks will end up being collapsed if bitcoin will not be integrated into their system. If we are just aware, they have been preparing for it once bitcoin will gained a lot of users they will also come up with their own digital currency that is fully centralized. Central banks will stay for long as long as there are people who keep on using fiat and its own digital coin in the future.

Although bitcoin might be a threat to central banks but it will never end up being collapse because i believe bitcoin is not made to compete with fiat and all its financial institutions but rather to co exist with them and made the consumers feel more convenient.

[Natalim]

Central banks will rather adopt blockchain and evolve. Bitcoin solely is not enough to solve global problems

Yes, it was right. Crypto or blockchains are already there and the people who adopts it are continously increasing each day so, in order to make the central banks to not collapse on the very far future, they need to adopt it and make some adjustment too.
If the government do not accept bitcoin, central banks will never collapse because it will always be needed.

Exactly. The central banks won't be triggered by crypto because its more established than crypto and people will still be needing it no matter what.

However, if the people themselves will stop from using it and chose bitcoin then maybe it might be fully triggered that will cause its collapse. But so far, central banks are still in huge demand so i don't think it will be threaten by crypto.

and i believe that situation will not happen in our lifetime. as it was mentioned, traditional banking system has been established for decades and decades already, so for me this new technology will not trigger the collapse of banking system. they may really adopt the technology to hasten their process, but it will not replace or collapse their system. up until now, the percentage of crypto users vs global population is still very small. though the adoption is increasing but as i said, we may not see in our lifetime that bitcoin or any other crypto will replace the traditional banking system.

This is true for me. I know i'm a fanatic about crypto but i don't think that bitcoin will eventually cause the government and its traditional financial system to collapse. Because if we see that way, then bitcoin  is not doing its purpose anymore. It may trigger the old financial system because most of the people here are already into new technology and digital currencies but it will not come to the point that it will replace fiat and make the central bank to collapse.


Yes, bitcoin has become more popular today but its utilization is still less because only few countries are legalizing the use of bitcoin. So it cannot replace the whole traditional banking system not today or in the near future.

[Abiky]

Not really sure your wealth is "secured" by an asset that has such extreme volatility.  In reality, almost nobody moves a significant portion of their wealth into crypto.  Almost every significant stake holder either has a small minority in crypto, or came into crypto holdings through minimal external investment and just lucked into the huge price swing.

Volatility shouldn't be a problem if you use Bitcoin directly for everyday payments. But most people often cash out Bitcoin to Fiat, greatly defeating its purpose. Always remember that 1 Bitcoin equals 1 Bitcoin no matter what. What makes Bitcoin inferior to Banks is its limited transaction capacity. High fees and slow transaction confirmation times, makes Bitcoin a terrible Fiat replacement. If it wasn't by that, Bitcoin would've taken down banks already. What makes banks stronger is government backing. They won't be going anywhere since governments continue to patronize them. Fiat will experience inflation over time, but that's it. Everything will revolve around Fiat since it's been around the scene for quite a long time. Bitcoin is still relatively new to the mainstream world so not everyone trusts it as a currency. What matters is decentralization and censorship-resistance. As long as people have an "escape route" from the current monetary system, there should be nothing to worry about. Just my opinion

[mirakal]

Yes, bitcoin has become more popular today but its utilization is still less because only few countries are legalizing the use of bitcoin. So it cannot replace the whole traditional banking system not today or in the near future.

Even if bitcoin will be legalized, it will still not attract huge adoption due to its volatility, unless some 3rd party business would help to eliminate the volatility risk, which would probably make the transaction fee higher. There's one country now that has already legalized Bitcoin as a legal tender, let's see if their experience is good and it would really gain a lot of adoption.

[Ozero]

If central banks don't start to integrate digital currencies to their system, I also believe that Bitcoin can cause central banks to collapse. It is already obvious that we won't go on with fiat currencies forever. Governments are developing their own digital currencies to get ready for the future. There will be no more fiat currencies after some point. So, central banks can't maintain their existence while only giving place to fiat currencies.

Even if the current banking system had not started introducing digital technologies, it still would not have disappeared anywhere. For central banks to disappear, you must first destroy the current system of social order, which is based on individual states, because banks are an integral part of states. However, human civilization does not know any other structure of society. However, we see that the banking system itself quickly introduces advanced digital technologies and there is no need to worry about it.

[Ngewex Yuk]

With bitcoin then all control is in hand, if we want to send large amounts of money then we need the services of a bank, this is what makes us too dependent on banks, at a cost of $ 8 we can send bitcoins in the amount of $ 10 or $ 10 billion or whatever the value because of control full is in the user.

[jossiel]

With bitcoin then all control is in hand, if we want to send large amounts of money then we need the services of a bank, this is what makes us too dependent on banks, at a cost of $ 8 we can send bitcoins in the amount of $ 10 or $ 10 billion or whatever the value because of control full is in the user.

The fee is being determined to the size of a transaction. If the size isn't that much then expect that the fee won't be a lot.

But on these times, the transaction fees being made in bitcoin aren't painful and they aren't that much anymore. And that's why it's very optimistic to do transactions in bitcoin to this date.

Triggering the banks to collapse, it's all about people learning to hold their own finances through bitcoin.

[Rufsilf]

It's hard to say that Bitcoin triggered the central bank collapse. In 2008 the financial crisis happened not because of Bitcoin. I mean all the things are going on right now just demonstrate that the debt based economy isn't the best economic system.

The financial crisis that happened in 2008 was the reason why bitcoin was born in 2009, and yes since the bitcoin was created it haven't triggered any economic or financial crisis at all because its value is not that huge and it's not introduced yet into public like these days. Bitcoin was orignally created to gave people more option and as a digital currency rather than just using fiats into payment system, but since bitcoin now is so popular and it is the most trusted crypto and digital currency, it made the central government and banks to shake because of the people continually converting their fiats into crypto due to lack of trust and to avoid inflation.

People wants to save and be comfortable that's why many have choosed the "bitcoin option" rather than placing it in banks in the term of "savings" while in-fact their fiats is slowing deprecated.

[CDC AP]

As you said there i don't think it can bitcoin has the power to trigger central bank to collapse since , central bank is the one who supporting countries who needed financial funds as they one who give them money as debt to pay every month and it will be taxed it to the people of one country , If central bank has an eye for bitcoin maybe it can adopt to be a part of blockchain and it will be evolved as one or they can be use to transact money faster without big taxes, But i don't think government will not take that idea coz they have full authority with central bank which they can easily manipulate money and if you compare fiat into currency they always choose fiat where they have a full control to it.

[chrisculanag]

It is not happen anymore because Central bank is important roles in every country ,bitcoin can make a good partner for the Central bank.We know that many countries have a big problem about internet connections , thats why many people trust to use Banking than investing Bitcoin. Remember , this two can help us and give some beneficial in many ways to all users.

[19Nov16]

It is not happen anymore because Central bank is important roles in every country ,bitcoin can make a good partner for the Central bank.We know that many countries have a big problem about internet connections , thats why many people trust to use Banking than investing Bitcoin. Remember , this two can help us and give some beneficial in many ways to all users.

The central bank will always be protected and defended by the state, it is impossible for bitcoin to eliminate the role of the central bank because the state financial system will always be centralized and the central bank that controls it, may only reduce transactions a little but it will never be real to eliminate the central bank.

[Finestream]

Why can't bitcoin coexist with central banks?

I see a future in which bitcoin acts as an alternative for those who believe that central banking is broken and fractional reserve is ultimately unsustainable.

These people will hold the majority of their wealth on the blockchain, where their wealth is secured by decentralisation. But inevitably there will also be a fiat economy that is only accessible through fiat currencies - and there will be interactions between the crypto and fiat economies through third parties.

The term secured isn't the right term for that, wealthy people only puts certain amounts to bitcoin like no more than 10% even if it's equal to 5 btc. The thing is, bitcoin is just an alternative option to be used to protect your asset from inflation but it isn't appropriate to put more than 50% of your wealth to bitcoin just to avoid inflation because yes it may seem as an investment but it's not always guaranteed safe and secure because the market is too volatile and move in a very unpredictable direction which will cause you high returns or huge loss.

Most people do invest in stocks or real estate, because it's more suitable rather than just making it sit in a bank.

[habebe]

it's smart because bitcoin can quickly recover from the collapse of the central bank and somehow bitcoin will remain a digital currency, even if its prices go down, it will also go up eventually and the central bank will return it in an orderly way.

[geegaw]

It is not happen anymore because Central bank is important roles in every country ,bitcoin can make a good partner for the Central bank.We know that many countries have a big problem about internet connections , thats why many people trust to use Banking than investing Bitcoin. Remember , this two can help us and give some beneficial in many ways to all users.

The central bank will always be protected and defended by the state, it is impossible for bitcoin to eliminate the role of the central bank because the state financial system will always be centralized and the central bank that controls it, may only reduce transactions a little but it will never be real to eliminate the central bank.

Not only are they protected by the country, central banks are protected by the largest funds and financial corporations when it can be said that central banks are the brokers between companies as well as lending and investment policies, once the cornerstone is destroyed, the whole financial wall will fall, not only domestic influence, it will spread internationally when they have a connection. Banks as a place of hidden resources from related to money, bitcoin will certainly create more work for the bank and only reduce some less profitable and unnecessary activities.