Is it possible for Traditional Banks to cooperate with Crypto

[joeperry]

I am not really that sure but I think some banks in where I live have an crypto ATM and they are crypto friendly I think if they can't stop it they can just add it in their service plus they can make money out of it by asking extra charges or some kind of fee. I am not really sure if what would be the effect of it but is some other country have added crypto service to their current service?

[Abiky]

DeFi or decentralized finance can threaten the world of traditional banking, because of the shift in lending, even DeFi itself is known to be able to provide loans like other traditional banks.
This can affect existing traditional banks, because there will be competition between traditional banks and crypto in general, regardless of the various problems that will occur, crypto and traditional banks must be able to adapt to each other.

Crypto development is progressing so rapidly, this can be seen from the many users who join here, if Traditional Banks close themselves it is not impossible to be abandoned in the next few years.
Although currently crypto is still very risky, it is not impossible that in the future crypto can change finances, just need to wait for regulations or legal regulations, if this happens, it is certain that crypto will grow and be accepted by many people.

I don't see why not. Crypto is open source and decentralized, so anyone can do anything they want with it without restrictions (legally, of course). Banks can leverage crypto/Blockchain tech in order to increase efficiency and reduce costs as much as possible. Some banks already begun offering crypto services to their customers, allowing them to expand their business operations. In the end, everybody wins (banks, governments, individuals, etc) as crypto/Blockchain tech enables true financial freedom. With greater regulations, crypto will flourish like never before. The industry is growing at a fast pace, so it seems that crypto/Blockchain tech will be here to stay for a long, long time. Just my thoughts

[Lubcub62]

I actually think that someday traditional banks will cooperate with crypto, more precisely adopt crypto. fiat and crypto will go hand in hand in time. Because many banks in various countries are starting to talk about this crypto and are still considering whether to adopt it or not. For example, 44 countries gathered last month in El Salvador to discuss bitcoin and crypto.

⁠Bitcoin, Bukele and a bevy of central bankers meet in El Salvador   

El Salvador welcomed 44 central bankers from developing countries around the world to tackle financial inclusion and discuss Bitcoin at a three-day conference.
Sourch cointelegraph:
https://ct.com/al8u

[lizarder]

It is unknown what competition between banks and cryptocurrencies will be after the widespread introduction of CBDC. It is unlikely that we will see the closure of banks in the next few years. Most likely, centralized finance and decentralized finance will develop and exist in parallel. Even if there is a direct threat to the banking system, governments are more likely to start restrictions for cryptocurrency than to destroy banking institutions. This is not beneficial to big capitals, and of course, no one will give full power to decentralized finance, where there is no state control. Therefore, replacing banks with DeFi is more of a fantasy.

So far it has not been possible to replace Banks with DeFi, even I personally am not sure it will happen in the near future, many rules are related to restrictions on crypto, if conventional banks start to be threatened by the presence of crypto in general, and certainly all countries will protect banks over DeFi

DeFi or decentralized finance can threaten the world of traditional banking, because of the shift in lending, even DeFi itself is known to be able to provide loans like other traditional banks.
This can affect existing traditional banks, because there will be competition between traditional banks and crypto in general, regardless of the various problems that will occur, crypto and traditional banks must be able to adapt to each other.

Crypto development is progressing so rapidly, this can be seen from the many users who join here, if Traditional Banks close themselves it is not impossible to be abandoned in the next few years.
Although currently crypto is still very risky, it is not impossible that in the future crypto can change finances, just need to wait for regulations or legal regulations, if this happens, it is certain that crypto will grow and be accepted by many people.

Well, as long as the government never cooperate and always see crypto as a competitor to fiat, traditional banks will never allow to accept crypto or integrate crypto into their transactions. However, if crypto will be legally adopted and accepted in the future, traditional banks will never stop their operation but they will continue to serve their customers and assist them in which type of payment they are convenient to make, be it crypto or in fiat.

This is more rational, traditional and crypto banks must be able to run simultaneously, in fact this can keep the bank in accordance with its function, the development of the times cannot be covered by something with existing rules, so that new existing programs (DeFi) will grow by itself, but if the two can coexist and have clear rules and regulations, then there will never be one of them will be left out

Both would co-exist with each other but there's no way that traditional banks would be adopting or integrating or cooperating with crypto even if they do tend to plan with such thing but we know that
crypto is decentralized in most projects that is existing.There's no way that they could really be having that full control which simply implies that it would really be totally opposing their overall
preference in terms of centralization thats why its not surprising that they do really always made out some counter move towards crypto if they do have the chance.
So dont expect that everything would goes well in between the two.

It is only necessary to apply the right regulations, so that traditional bank functions can continue to function as they function, while crypto (DeFi) is still given a limit, so that they do not surpass traditional banks, but if this continues to be opposed, then what is feared is that they will be better than banks. and in the end it was the bank that was abandoned by many people, it is not impossible that this will happen, the development of the times can happen things that are beyond people's predictions

[Uang_kartal]

At first glance, its function is similar to funding, but defi is created to help developers develop projects, while bank loans are for funding the borrower. In my opinion, a cross-economy with interest. similar but not the same.
in terms of Roi and apr / apy which are very different. If defi is paired with bank interest.

You are right, from the legal umbrella, the bank has complete and insurance that guarantees if funds are lost, stolen or something like that.
banking is still steadfast and venturing with applications for submissions.
if there is a collaboration, it's only funding / disbursement while the exchange is still on the Dex.

This kind of surprise has not been thought of since 2014.
but it appears that there are many who follow it.
we follow in the future, banking could be in the direction you think.

[worle1bm]

Banks can easily join hands with the crypto world but they are not having their own decision making powers but they are controlled by the central authorities who will decide whether crypto is good or bad but most of them see it as their competitor but didn't realise that fiat can't be displaced by it's usage but they can go side by side.

[GreatArkansas]

There were rumors that recently there are some banks running on Anchor Protocol, this is a DeFi  platform that is under Terra Luna network before and I think it is because of high APY, around 18% before, so that's only rumor, even the Aave a liquidity protocol, there are also rumor before that there are some traditional banks that is using that DeFi plat

[Silberman]

Banks can easily join hands with the crypto world but they are not having their own decision making powers but they are controlled by the central authorities who will decide whether crypto is good or bad but most of them see it as their competitor but didn't realise that fiat can't be displaced by it's usage but they can go side by side.

I see it the other way around, bankers hold the power of money and as such they can get into power anyone they want and pass whatever policies they want, so a great deal of the opposition we have seen against bitcoin comes from them, even if on the surface it may seem to come from politicians, so with this in mind they may be willing to allow bitcoin and other cryptocurrencies into the banking system, but only if they follow their rules, something which is unacceptable as they will ask for all kind of compromises for this to be the case.

[Jackl87]

DeFi or decentralized finance can threaten the world of traditional banking, because of the shift in lending, even DeFi itself is known to be able to provide loans like other traditional banks.
This can affect existing traditional banks, because there will be competition between traditional banks and crypto in general, regardless of the various problems that will occur, crypto and traditional banks must be able to adapt to each other.
Crypto development is progressing so rapidly, this can be seen from the many users who join here, if Traditional Banks close themselves it is not impossible to be abandoned in the next few years.

I think it is very much possible that traditional banks are also adding crypto in whatever form to their portfolio of products. The thing is though if those banks really want to do that because in the end crypto was invented to create a financial system that gives the power back to the people and that can not be controlled or even stopped by banks or the governments. I also can imagine that traditional banks are afraid to become irrelevant if they are offering crypto services, because i would guess that a lot of new customers that would use those crypto services would find out sooner or later that they could do all that Defi stuff by themselves without paying an extra fee to the bank.

[Sanitough]

DeFi or decentralized finance can threaten the world of traditional banking, because of the shift in lending, even DeFi itself is known to be able to provide loans like other traditional banks.
This can affect existing traditional banks, because there will be competition between traditional banks and crypto in general, regardless of the various problems that will occur, crypto and traditional banks must be able to adapt to each other.

Crypto development is progressing so rapidly, this can be seen from the many users who join here, if Traditional Banks close themselves it is not impossible to be abandoned in the next few years.
Although currently crypto is still very risky, it is not impossible that in the future crypto can change finances, just need to wait for regulations or legal regulations, if this happens, it is certain that crypto will grow and be accepted by many people.

I don't have doubts that crypto will continue to progress every year but i don't see it that traditional banks are nearly closing because of crypto. That will never happen as long as the government chose to support traditional banks. However, i always have high hopes that banks will come to adopt and integrate crypto into their bank's transactions. Instead of being one sided, its always better for them both to adapt with each other because that will be the only way that they can continue giving maximum services to the people.

[bitkanu]

They always could cooperate in order to get their services to the next level but the question is, will they? due to the regulation and etc they usually can't just do that.
Cooperating with cryptocurrency is always great, more over it could increase the coverage of their customers but there is definitely so many things that they need to take into account before ever cooperating with services like decentralized finance.

[vv181]

It is only necessary to apply the right regulations, so that traditional bank functions can continue to function as they function, while crypto (DeFi) is still given a limit, so that they do not surpass traditional banks, but if this continues to be opposed, then what is feared is that they will be better than banks. and in the end it was the bank that was abandoned by many people, it is not impossible that this will happen, the development of the times can happen things that are beyond people's predictions

What do you mean by the right regulation? You know that In fact, it is already functioning, so any further regulation is not necessary for a bank to keep continuing what they are doing. And Defi was given a limit is not because it will directly compete with a bank, instead, in some countries, they even still do not have any regulation at all.

[ice18]

This is really possible the world is changing and they need to accept and adopt this new technology and keep updated on it else they will become obsolete and will left behind, most banks are slowly showing interest on crypto as publish in some financial websites, who knows they are secretly engaging in DeFi unknown to public. 

[MadeMen]

I'm of the opinion that the traditional banks may not have any option than to cooperate with crypto in the near future. This is because there's been growing adoption and cryptocurrency is coming to limelight with the regulations and legalities that are coming in place. This may take a while to accomplish but we'll get there.

[Nrcewker]

Cryptocurrency has grown. Just think between 2009 and now Crypto has taken over almost all the sectors of the world global system. Cryptocurrency and traditional system are two different financial system with different ides. Tradition  bank can develop chain to integrate the traditional institution to comprehend with blockchain idea since everyone is now in for digital currency.

Yes this can be easily done. But guess what there is an obstruction in between. And that is the government.
Due to the decentralised nature of the Bitcoins, it cannot be controlled by the government, and therefore government is playing the major role to prevent Bitcoins to get accepted globally.
As Bitcoins are cannot be controlled by the government, therefore they are unable to impose tax on it. And also for that reason, they have instructed all the traditional banks to not pair with any cryptos.
And the traditional banks are majorly funded by government, so they are abide by all the rules that the government will give them.

[Subbir]

That's right banks can't co-operate with crypto because they are not controlled by the government. Although cryptocurrency has advanced through decentralized blockchain technology, it will take some time for banks to regulate it if bitcoin is supported all over the world and all the institutions are controlled by bitcoin then many will accept it.

[bounceback]

The banking system will not be left behind because as long as it is needed the community will continue to operate as usual, even though the cryptocurrency trend is currently developing, but that does not mean the presence of crypto aims to replace the banking system, so I don't think they need to compete because both have their own advantages and disadvantages. so they will continue to walk side by side.

[killerfrost]

But in recent years, besides the trends that we still think are common in this market, I have also heard a lot about CBDCs. But for or against cryptocurrency is still an unclear topic. The core blockchain technology is growing in popularity in many fields, and the governments of many countries are also looking for ways to intervene in the field. In this area, more I think the problem depends on many different factors and not just each crypto market. Speaking of support for it, perhaps we will soon see support or opposition to this field in the near future. But overall, I'm not one to have too many things to be influenced by that many people think it's a big deal.

[lizarder]

Why not? Basically traditional bank was seeing crypto as a competitor but it can co exist. This time if you know the fact if people were using their traditional bank as a way to transfer their money into the crypto market. That means if the traditional bank is possible to cooperate with the crypto. Remember the reserved funds that used to backed the stable token was also still on the traditional bank as well. I think that that crypto can't leave from the traditional bank as well.
That is still become one of best gateway for money to come in

That's what I mean, that crypto and conventional banks have actually cooperated indirectly, in fact we can transfer money via crypto to conventional banks or even vice versa, and another hope that we need is, these two systems can bind to one regulation, so that no one feels harmed

looks like it won't happen even for a long time. because if for example a traditional bank accumulates just one of the cryptocurrencies for example a blockchain network for transactions, it will make it anonymous which will be difficult to track in case of theft or something else. Currently, traditional banks have also launched mobile banking which makes it easy for users to make online transactions and that is enough.

in terms of currency, crypto is also too risky because of its volatile price. logically, banks may not coorporate with crypto, but in reality we'll see if that can happen.

The cooperation carried out by traditional banks with crypto can also be interpreted broadly, for example sending money from crypto to banks or vice versa, but people worry that banks will be left behind, even though we who have been in crypto for a long time understand very well that we also need banks. to make a delivery or a withdrawal, people acquire something in a very general sense, and I think the two can go hand in hand going forward

Right now there's already a cooperation between many banks and crypto platforms. In my country, more and more banks and financial institutions are considering crypto platforms. Even our central bank will be working with some of these crypto platforms for improvements. The bank don't need to get threatened by crypto progress, whereas, they just need to understand how it works and then adopt when they deem it necessary and some sort of improvement to the system.

Decentralized finance is another thing. I still find it difficult to regulate unless there are changes and well, it may not anymore fully decentralized in nature. Our central banks and governments existed in order to regulate.   

This is a pretty good step taken by a bank in your country, this is a new breakthrough to guarantee technological sophistication as the vein of a development, although many problems will arise later, but the adoption of crypto is worth trying by the central bank, if the regulation is good enough and binding, I'm sure no one will be harmed

Actually traditional banks can switch to the world of cryptocurrency and apply cryptocurrency technology, it's just that all of this has a very high risk and of course blockchain technology if applied to banks can be wider and everything becomes transparent so it is likely that banks will find it difficult to make profits and will likely there is a reduction in employees because everything is digital and automatic.

All forms of work experience risks, the problem is that we are required to be able to accept the development of the times or existing technology, people no longer need to work in offices, they can easily access anything at home, won't developed countries continue to launch technology, then what about developing countries , who always says that he is not ready to accept, regarding employee restrictions, that is indeed the target of developed countries, they want humans to be more developed and have skills

it's always possible. I just try to remind you that if central or traditional bank will always be needed by people no matter how hard they were blaming the central bank but the fact that if these kind of people are still using central bank for their daily activities. Central bank already cooperated with crypto but it's not all of central bank was doing it. It's always possible for the traditional bank to cooperate with the crypto company. i have seen so many times central banks were investing in the crypto

Not in the context of wanting to blame each other, I mean are there future regulations that can regulate central banks and crypto to cooperate widely, isn't this very beneficial for all of us, and even everyone hopes that central banks and crypto can run together, full support given by the authorities can guarantee the continuity of both of them in the future

[Kunnu]

As we know there are some countries where crypto currencies are illegal that's because the governments of these countries understood only disadvantages of crypto they didn't try to find out the advantages and benefits of crypto that's the main problem which is creating a barrier between traditional bank and crypto industry if these countries legalize crypto currencies with regulations then traditional banks might cooperate crypto currencies.