Is it possible for Traditional Banks to cooperate with Crypto

[Xampeuu]

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.

cryptocurrency is not considered a currency, but only as a means of investment and trade, if in accordance with the essence that is allowed by the government it seems that crypto can work together in terms of deposits and withdrawals, the rest as a currency or a medium of exchange does not seem to be able to be done. Isn't it now that there are many facilities from banks in an exchange, to facilitate investors?

[asyakashi]

seeing from their working system like cryptocurrencies work decentralized while traditional banks work centrally it has become a very opposite difference. From there it seems like traditional banks are unlikely to fully cooperate with cryptocurrencies. But I think they might take some concepts or add a bit of the same technology as blockchain. Likewise, cryptocurrencies that aim to become digital currencies as global payments will also take some of the concepts of traditional banks. Here they bond with each other but may not cooperate.

[Inspiron14]

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. 

That's true and indeed as the times progress, the development of technology itself is also increasingly sophisticated and I think it will always go hand in hand,
and like it or not they have to adopt new technology because it is important for the development of traditional bank,
We'll see if we will actually adopt it or not

[Godwinpaul]

As it stands, traditional banks are against cryptocurrency because they're competing intrinsically, coupled with the fact that cryptocurrency seems to have a lot of benefits which out ways that of traditional banks especially as it relates to the people. The government in many countries are bringing up regulations to circumvent the use of cryptocurrency and the support of cryptocurrency by banks. This may be the case now, but in the future they would have no choice than to allow the people have their way.

[RussianEnglishTranslation]

As it stands, traditional banks are against cryptocurrency because they're competing intrinsically, coupled with the fact that cryptocurrency seems to have a lot of benefits which out ways that of traditional banks especially as it relates to the people. The government in many countries are bringing up regulations to circumvent the use of cryptocurrency and the support of cryptocurrency by banks. This may be the case now, but in the future they would have no choice than to allow the people have their way.

This is true but I would also add that banks and governments want to move people to digital fiat (CBDCs) so they can control people and tax them better. They don't want you to have the option of using a system other than theirs. So what we have here is a battle between decentralized (MATIC, CNDL) and centralized blockchains like Hyperledger as well as private forks of Stellar and XRP.

[tjtonmoy]

It's possible, but this will sure take some time. People are not yet ready to accept crypto. On the other hand, traditional banks does some dirty works for the rich people while poor suffer from that. So the filthy rich people won't let people accept crypto. So now it's just a matter of time till people will understand. The world nowadays has become so much hard that people don't wanna learn new things and just move forward with the boring old stuff.

[Abiky]

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.

Regulations will greatly limit banks' ability to provide crypto services at their fullest. Some banks have still managed to work with crypto, but most of them can't because of the reasons mentioned before. Keep in mind that if all banks cooperate with crypto, then that would signal Fiat's defeat. That's something governments don't want to happen, as that will reduce their dominance/control over people's financial lives.

I believe banks are better off "sticking" with Fiat, than crypto. The latter was meant to eliminate the middleman anyways, so I'd say it's best for banks to stay away from crypto for its own good. It's already been 13 years since Bitcoin's inception, so it's likely crypto will live alongside Fiat for generations. Just my thoughts

[Silberman]

It's possible, but this will sure take some time. People are not yet ready to accept crypto. On the other hand, traditional banks does some dirty works for the rich people while poor suffer from that. So the filthy rich people won't let people accept crypto. So now it's just a matter of time till people will understand. The world nowadays has become so much hard that people don't wanna learn new things and just move forward with the boring old stuff.

If we are indeed getting close to a world economic crisis then people will have no other choice but learn how to adapt and look for new solutions to their problems, at the moment the adoption of bitcoin is slow because people do not see the need to do so as they still get enough benefits from the current system, but once that is not the case and they realize the system they believed in was nothing more than a scam that is when we could see them adopting bitcoin, and since banks follow the money that is the moment they will do so as well.

[Japinat]

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.

Its always good to see traditional banks to cooperate with crypto in the future. But for now, i don't see any possibilities that crypto will be accepted by the traditional banks as they even see it as a threat. And once bitcoin will be integrated in the banks transactions, that will no longer be decentralized. The thing that may totally lost the decentralization nature of bitcoin once the government decides to adopt it legally and accepted it in the banks as everything will be traceable by the government just like what fiat system is all about.

[Kavelj22]

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. 

Technically, this is possible, of course, with evidence that there are actually banks that have been developed according to the new technology, and also old banks whose policies have been adapted to effective encryption systems in the blockchain system.
But in practice, this remains subject to the global policies of the financial system, and exclusively to the policy of the state to which the bank is subject if it is compatible with the blockchain system.

[Newlifebtc]

Is not possible for cryptocurrency to cooperate with bank because government will not allow something like that to happen because of the hatred they have for Bitcoin. The challenge of bitcoin or cryptocurrency today is government and before it have alignment or alliance with bank, because if it happens it will be like centralized currency

[uneng]

Somehow it must happen. You know some banks offer investment options in assets besides fixed income, and some of those investment categories might include cryptocurrency as part of the package. But that is all I expect from banks: an informal approach to cryptocurrency instead of a direct one, that would mean accepting crypto deposits and swap. Actually, I don't see this as a problem, because we don't need traditional banks to survive. As technology evolves and becomes more accessible to everyone, new services are being developed also regards finances and that is what I believe to be the future of banking system. Just like bitcoin, doesn't matter where you are in the world, you will have access to that virtual bank.

[goaldigger]

Is not possible for cryptocurrency to cooperate with bank because government will not allow something like that to happen because of the hatred they have for Bitcoin. The challenge of bitcoin or cryptocurrency today is government and before it have alignment or alliance with bank, because if it happens it will be like centralized currency

Not directly with crypto, but some banks already adopt blockchain technology and that is being host by a crypto, XRP for example so I think its really possible to happen, it’s just a matter of time. Banks will remain banks, the greed will still be there and probably some will block the crypto adoption on their place but in general they can’t stop this anymore and people already know the importance of cryptocurrency. I see a good future with cryptocurrency, for sure they can work with banks and have a good partnership in the future.

[rahmad2nd]

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.

so far no, the banking system sees crypto as a threat problem many countries don't legalize crypto that's why banks won't cooperate with crypto.  Traditional banks can provide many types of loans, houses, cars, installments etc.  defi is a type of crypto-based loan and it will never threaten conventional banks.  I think this is a simple explanation

[serjent05]

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.

I do not think DeFi is a threat to traditional banking,  Defi can be banned if the banking institution forbids it to operate within their jurisdiction.

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.

We don't need to wait for the future to see the effect of cryptocurrency to the bank system.  Actually, Cryptocurrency is already shaping the financial system.  Banks and financial institutions may deny it but their action speaks louder than their denial.  Just check how they wanted to implement CBDCs.  If it is not for crypto they would have not been pressured to that extent.

[ardentvolcanoes]

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.

so far no, the banking system sees crypto as a threat problem many countries don't legalize crypto that's why banks won't cooperate with crypto.  Traditional banks can provide many types of loans, houses, cars, installments etc.  defi is a type of crypto-based loan and it will never threaten conventional banks.  I think this is a simple explanation

Banks still in doubt about where the crypto will proceed,

even there are some countries that open with adopting crypto the banking business still not in the process of fully adopting this system.

Like how you provide your example, there are deals that banking can offer, but unlike with how defi works,
banks are more likely to a secure side that they are always in control.

[RussianEnglishTranslation]

Banks are already working with cryptocurrencies like XRP and XLM. CBDCs have been rolling out over the last year. Other contenders for nation states would be UTNP and CNDL, both of these have 0/low fees and are capable of running smart cities.

[saint_casanova]

Yes, I think it was possible for traditional banks to cooperate with cryptos if they're willing to abandon their monopoly and adjust their business to be more up to date. What is the reason behind the crypto movement? If you can list out all of that and tell the banks to lower their profit margin by cooperating with cryptos on those points. 

[Hold-n-play]

I recently created a thread concerning this topic:

https://bitcointalk.org/index.php?topic=5401221.msg60279675#msg60279675

Goldman Sachs Group lends money to Coinbase backed by bitcoins bringing money from the Wall Street to the digital-asset space

https://www.bloomberg.com/news/articles/2022-05-03/coinbase-is-on-other-side-of-goldman-s-first-bitcoin-backed-loan?sref=fgHqaWRV

In sum, yes, I do believe that traditional banks/lenders will cooperate with crypto

[poodle63]

The bank definitely gonna create their own system since it's gonna be beneficial for them.
You could see many bank has already researched the technology of blockchain and if they could integrate it in their system, maybe in the future we gonna see hybrid system of bank combined with blockchain to increase efficiency.
I think that's the thing that most of the banks gonna takes the direction in, since maybe creating or combining blockchain into their system gonna be really easy.