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[Symmetrick]

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[1714873501]

1714873501

[pinggoki]

With them admitting that crypto harms their interests which is the current financial system, I think that it's safe to say that they're afraid of cryptocurrency. Plus, it's also preposterous for them to say that cryptocurrency is used for fraudulent activities when in reality it's not the case because it's probably easier to trace someone when it's online especially with more tech firms finding ways to track crypto criminals, I don't think that fraudulent activities would last very long.

[jrrsparkles]

Ofcourse, they are. Banks are the middlemen for every transactions happening in this world either in some way but what is the main motto of crypto currencies which is to eliminate the middlemen so called trusted third party.

We can add more into the list about the central bank of countries where cryptos are banned officially but the reasons they are saying is different from what is the actual reason which is bankers are afraid that how they can print money anymore if cryptos are adopted worldwide? How they can make money out of thin air?

[hyudien]

We just need to underline everything with one word "BANK". because the root of everything lies in how Russia, England, or any other country tries to attack crypto with news, none other than just because crypto gives financial access to its holders to more freely control what is their financial right without giving any amount of value to anyone. The bank wants you to pay taxes on the proceeds, the bank wants to receive the income you make, the bank wants to control how much you have to limit and how much tax you have to pay them.

[Vaskiy]

Ofcourse, they are. Banks are the middlemen for every transactions happening in this world either in some way but what is the main motto of crypto currencies which is to eliminate the middlemen so called trusted third party.

We can add more into the list about the central bank of countries where cryptos are banned officially but the reasons they are saying is different from what is the actual reason which is bankers are afraid that how they can print money anymore if cryptos are adopted worldwide? How they can make money out of thin air?

Surely the banking industry will have fear about the adoption of bitcoin, because the central reserves can't print money and make money out of thin air. However people won't think of the technical things, but takes in account the real-time usage. As of now we haven't got big access around the globe. So, surely cryptocurrency will coexist than functioning independent.

[fiulpro]

Why would they be ?
They would not only be loosing investors, but customers as well. Banks are an important part of the society but their dominance is nearly toxic and too controlling for the people therefore they are trying to look for other options and cryptocurrencies are perfect!
Many banks are also controlled by governmental bodies which does mean that they are in a danger of taking their power over the people, the current system of money printing is essentially a probelm since this is putting a lot of risk out there for people, people are scared of keeping their Investments in the banks, who knows when the government can put out laws that might be bad for the middle class.
Banks rather should work on making the whole adoption of cryptocurrencies better by integrating with them which can make their cash inflow and outflow stronger, indirectly making them more stable.

[so98nn]

The crypto adoption is way futuristic for now and it is good thing because it’s adoption is going to be gradual and immediate. This is similar to accepting fiat money in the form of coins, papers and digital money today and how it all got accepted after gold. So there was no hesitation in doing that from gold to fiat so why would it be so difficult with the crypto anyways?

We need new ways because we need it according to how it changing for humans the way we moving forward.

I think both banking and crypto currencies will keep backs of each other in the future. Because no matter what, there will always be population who will want to have fiat and others will choose crypto currencies.

For now obviously banks do not know what exactly to be done with all the crypto currency jumbled around their neck. But eventually there has to be a way where they will need to come to an agreement on using both the assets side by side.

[ShowOff]

On many occasions I think we have seen that banks publicly stating that they will not support crypto adoption will only make them worry about the emerging economic problems. Obviously they look scared, but going forward we really don't know how this rule can be softened.

Banks have personal reasons why adoption is impossible and one of them may be because of their desire to own a fully centralized cryptocurrency. The adoption of crypto, especially bitcoin, will only make them lose their income in the form of investing in customer funds that they have been using, people prefer bitcoin which is very easy to make transaction and many other things.

[Congyang]

A modern system with futuristic technological sophistication will certainly beat the old system which is traditional.
Reflecting on the initial system when it was still in primitive times, which still used the barter system for trading, technological sophistication and an increasingly advanced human mindset had changed this by creating currency as a legal tender.
it doesn't stop there when the currency is too complicated for large amounts, they again make new progress, namely creating fiat which can indeed make shopping easier because we don't need to carry large amounts of money in a suitcase or bag to shop, just with one card, everything can be done. resolved.
and now of course there is something more up-to-date than that, namely cryptocurrency.
With the existence of cryptocurrency, of course, when we want to transact, we don't need an intermediary to do this. So, why use an intermediary again when it has been created that is easy without intermediaries.
For the government, this may be a threat, but for society it is evidence of technological sophistication that is increasingly developing, and of course we must keep pace with and follow the developments of this era.
the more they reject crypto, the more adoption happens

[paxmao]

I think central banks are mostly concerned with people being scammed rather than with the crypto being a competition or substitute system. It is very clear that bitcoin does not really work as a substitute of local currencies, but rather like gold or other assets, so there is no fear on that. however, everyone that has been around for a while understands that possible the greatest risk in crypto is falling into a scam and the governments cannot allow people to loose their saving to scams and then having to subsidize their retirements.

[Hamphser]

I think central banks are mostly concerned with people being scammed rather than with the crypto being a competition or substitute system. It is very clear that bitcoin does not really work as a substitute of local currencies, but rather like gold or other assets, so there is no fear on that. however, everyone that has been around for a while understands that possible the greatest risk in crypto is falling into a scam and the governments cannot allow people to loose their saving to scams and then having to subsidize their retirements.

Would say up the same thing even banks on my countries never stopped on making out warnings and cautions about crypto investment which I could say

that they aren't really that mindful about cryptos existence even though they are highly regulated but they wouldn't care if crypto does exist.

If whats the government stance about crypto on that particular country then they would definitely be just simply following that.

[Argoo]

With them admitting that crypto harms their interests which is the current financial system, I think that it's safe to say that they're afraid of cryptocurrency. Plus, it's also preposterous for them to say that cryptocurrency is used for fraudulent activities when in reality it's not the case because it's probably easier to trace someone when it's online especially with more tech firms finding ways to track crypto criminals, I don't think that fraudulent activities would last very long.

Yes, in general, you still need to admit that both banks and states in general are not happy with the rapid spread of cryptocurrency around the world. The fact that people are increasingly investing their capital in cryptocurrency means that banks, banks, do not receive this capital. Therefore, it is unambiguous that cryptocurrency is a competitor to fiat money of states and states, over time, will try to restrict its circulation by their regulation.

[arallmuus]

For example, the Russian central bank is constantly trying to expose bitcoin and other cryptocurrencies only in a negative way. Say, with the help of cryptocurrencies,  often commit fraudulent actions, theft and extortion, the purchase of drugs and weapons on the darknet.  Cryptocurrency is not backed by anything, it does not have a guarantor in the person of the central bank, there is no regulatory body, and any financial instruments built on cryptocurrencies lead to the loss of funds by investors.

Classic. Banks have been saying the same thing for the last 5 years, ever since the last bullrun in 2017 banks are aware of cryptocurrencies and has always been saying classic stuff like this

The Bank of England states that the crypto industry and its risks can pose a threat to the financial system

Its about time that they are acknowledging this

What are your thoughts on all this? Do banks really openly admit that they are afraid of further crypto adoption?

Its more like they sense that there will be potential threat to the current finance system but not to the point that they are openly admitting that the future lies with cryptocurrency so unless there are more countries adopt bitcoin as their legal tender then I dont think most banks are going to acknowledge this as a major problem

[Sterbens]

The Bank of England states that the crypto industry and its risks can pose a threat to the financial system:

The Bank of England has warned that the cryptocurrency industry—and its risks—may be a danger to the established financial system in time, per the BBC.

Moreover, these risks will grow along with the continued growth of crypto adoption:

Sir Cunliffe also said that this risk will grow if and when the crypto industry becomes more widely adopted.

And what should be done to prevent this risk from continuing to grow?

“We really need to roll our sleeves up and get on with it, so that by the time this becomes a much bigger issue, we’ve actually got the regulatory framework to contain the risks,” he also said.

Essentially, Sir Cunliffe is saying that we need to start holding back crypto adoption so that the financial system does not suffer (read, the interests of banks). More and more people every year prefer to keep funds or invest in cryptocurrencies. The interest in bank deposits is diminishing, as is keeping funds in banks. Because who is interested in keeping funds in a currency that is constantly depreciating? Personally, in my country, the annual interest on deposits does not compensate for that inflation, its growth is simply enormous. I think many countries from the link that I gave above are also trying to solve the issues of inflation and hyper inflation with the help of cryptocurrencies.

I just listened to what they had to say about the crypto industry and the risks it could pose a major threat to the financial system. Isn't it the other way around? Based on the risk, all investment sectors have the same risk. The excuses uttered were simply fear, and it has become the habit of those who for years have spoken of the grave dangers of adopting Bitcoin and other cryptocurrencies.

So far, the one who is in big trouble is the dollar. Are banks missing out on the problems that result from not having a profitable store of value? If only Bitcoin during the pandemic was noticed, maybe after that they wouldn't be too busy with inflation. I will not stand idly by and assume CBDC is the choice. It cannot be held freely like the cryptocurrencies we have today.

[Gyfts]

I think central banks are mostly concerned with people being scammed rather than with the crypto being a competition or substitute system. It is very clear that bitcoin does not really work as a substitute of local currencies, but rather like gold or other assets, so there is no fear on that. however, everyone that has been around for a while understands that possible the greatest risk in crypto is falling into a scam and the governments cannot allow people to loose their saving to scams and then having to subsidize their retirements.

Since when did central banks care about their consumer base? If they were that virtuous, I would expect them to exercise a slight bit of financial responsibility ever now and then, but they seem immune from that. Traditional currencies are the biggest scam there is -- built in inflation rate and uncontrolled printing ensures that the value of one's funds decreases year over year.

Theoretically, you could switch to a crypto based system and anyone concerned that they wouldn't be able to handle their own private keys safely could always revert to an exchange to hold funds for them (which is essentially the modern day banking system anyways, you entrust the bank to hold all of your funds).

[KingsDen]

Banks have just realised lately that they cannot stop cryptocurrencies.  What they are doing is just mitigating its adoption in order to buy more time to propagate thier CBDC.
One good thing about crypto is even the individuals that are championing the fight against crypto as Bank reps or government may have funds in crypto.
The undying technology of crypto is just superb.
Let's sit and watch as the battle unfolds.
Crypto does not fight back but keeps propagating.

[The Sceptical Chymist]

More and more people every year prefer to keep funds or invest in cryptocurrencies. The interest in bank deposits is diminishing, as is keeping funds in banks.

Have you got any hard data on that claim?  I'm pretty sure interest in crypto has grown and continues to grow, but I just don't think people are choosing crypto over fiat if you know what I mean.  They're using crypto to speculate or invest in rather than using it as a substitute for their bank cards/cash/fiat/etc.  And if you look at all the threads on this forum, there are very few that talk about places where you can spend bitcoin or altcoins--everything is about prices and speculation.

I'm also not sure that people are abandoning banks at all.  Most people are still tied to the banking system in one way or another, and it's very hard for most people to see that there's even a problem with the system, much less look for an alternative to it.

Because who is interested in keeping funds in a currency that is constantly depreciating?

Not many, but that doesn't mean crypto is the only alternative.  Many people invest in stocks, metals, real estate, and other things instead of holding cash.

[Darker45]

Afraid? Not necessarily. Well, maybe some, but I guess there a handful reasons why certain banks show strong disapproval of crypto. Perhaps many of these banks have yet to really explore the basics of crypto and its potential. Or perhaps the highly unregulated characteristic of crypto truly bothers them. Or since banks, being financial institutions, are rather stringent, they seem to have a distaste of the anarchist, irreversible, pseudo-anonymous nature of crypto. But, make no mistake, many of them are already joining the community.

[Anonylz]

Since with the adoption of crypto there is no room for a middleman, they don't like that idea so they will not accept it so easily but I don't think they are afraid, crypto gives freedom and anonymous which is the total opposite of banks, don't expect a friendly approach from them, they will always try to paint a negative picture before the public but only those who are determined regardless of what is published can discover the true nature of crypto and its benefits.
Besides, the vast majority still use the banks so I don't see what they should be scared of.

[Rruchi man]

Someone thinks that the introduction of CBDC will help the development of the crypto industry. Personally, I believe that CBDC will only stick a stick in the wheels of real cryptocurrencies, because they have different purposes.

CBDC introduction will bring comparison between it and real crypto itself, people who have formely not known about crypto will as a result of the comparison get to know about it, in the end, i still see a win for cryptocurrency.

What are your thoughts on all this?

We've always known that the banks make use of customers deposit to trade the foreign exchange market, crypto adoption poses a big risk to that, there is also the issue of tax to consider, individuals can hide their assets in crypto to evade taxation that may come from keeping in the banks, this leads to reduced revenue for the government. Although presently in some countries, new methods are being devised to track financial records in crypto to ensure the inflow of tax to the government, it has not been fully implemented in other countries of the world where crypto is used or not considered illegal.