Why Bitcoin cannot be a Bank?

[CryptoBuds]

Basically, Satoshi's original purpose when creating bitcoin was to become a P2P payment method, not an investment as it is today. So with your questions, it can be seen that bitcoin can be used to pay for the services you mentioned, anything you use fiat to pay for, bitcoin can do. The only current barrier that keeps bitcoin from being used as widely as fiat is the government, since it's a decentralized currency, they don't want to accept it, so it's not widely used yet.

[1714701465]

1714701465

[1714701465]

1714701465

[1714701465]

1714701465

[noorman0]

-snip-

• Can you pay your Mortgage with Bitcoin?
• Can you pay your house rent with Bitcoin?
• Can you pay all your bills with Bitcoin?
• Can you pay your medical bills with Bitcoin?

Legally, no. On the basis of understanding, it is not a problem and I thought of some tactics (adjusting the legality in my country). Suppose you come to the bill payment counter, offer the cashier an agreement to pay your bill by asking him to pay your bill and then you give him bitcoins in exchange. You don't touch the fiat at all.

[xzy887]

You may not remember the early demand for Bitcoin, when the Bitcoin journey first started, the price of Bitcoin was very low.
Could you have imagined that Bitcoin would reach this stage? Of course not, because if you knew then you would have held onto Bitcoin and you would have been in the top 10 richest people list today.Since you can't know the future, you can't tell whether the next generation will continue to trade with Bitcoin. This little argument of yours will not stop Bitcoin.
Do you look at El Salvador and see that everything can be done with Bitcoin before? Of course not. But now they have turned 'no' into 'yes'.
Such next generation can turn 'no' to 'yes' in all our countries.

[Darker45]

I can only speak of the setup where I'm from.

Do I need a bank to pay my mortgage or to even get a loan to buy a house or a car? No.
Do I pay my house rent through a bank? No.
Do I pay my bills through a bank? No.
Do I pay my medical bills through a bank? No.

On the other hand, can I pay my mortgage with Bitcoin? Why not? Can I pay my house rent and bills with Bitcoin? Why not? As a matter of fact, I've already paid bills with Bitcoin. And if only my landlady would accept Bitcoin, I might also pay my rent in Bitcoin. If hospitals and clinics would accept Bitcoin, I can also pay medical bills with Bitcoin.

[YUriy1991]

I think why it's like that for now Bitcoin can't be a bank because it doesn't have the same regulatory framework as traditional banks.

Bitcoin is a decentralized digital currency, meaning it is not backed by any government or central bank. That is, it does not have the same regulatory oversight as traditional banks, making it difficult to use as a banking service. In addition, Bitcoin is not FDIC insured, which means users are not protected against losses due to fraud or other problems.

Bitcoin transactions are irreversible, which makes it difficult to use as a banking service because customers will not be able to get their money back if something goes wrong. I think this point needs to be our main concern.

[Razmirraz]

Snip

Haha don't be confused and don't get frustrated by overthinking such points. When paper currency was started many people started their commenting on this that it won't stay long and it's not possible to apply in society but with time people get adapted to it until now even it was also true it won't stay longer compared to the historical systems. Now the same thing is happening with Bitcoin people are thinking it won't be applicable but bro with time they need to accept it whether its governments, Institutes, or locals need to accept it.

In the answer to your rest of the questions currently Answer is NO but we can enforce them to convert that No into Yes.

Only the government has the authority to convert that No into Yes. Just as paper money was first introduced, it was initially doubted that its existence would last long. After government intervention, paper currency became increasingly popular. The presence of Bitcoin has started to be accepted in several countries, the government has not taken any further policies regarding Bitcoin. With time Bitcoin will gain recognition like El Salvador has done.

[woez]

• Can you pay your Mortgage with Bitcoin?
• Can you pay your house rent with Bitcoin?
• Can you pay all your bills with Bitcoin?
• Can you pay your medical bills with Bitcoin?

If I'm not mistaken Paying a mortgage with Bitcoin is not yet possible because most banks and mortgage lenders do not accept Bitcoin as a form of payment. Likewise, paying rent for a house with Bitcoin is not yet common practice, although some landlords or property owners may accept it as a form of payment.

As for paying bills with Bitcoin, it depends on the company or service provider. Some businesses now accept Bitcoin as a form of payment, but most still don't. It is important to note that not all bills can be paid with Bitcoin.

[Kakmakr]

You do not understand what a Bank is ...and you do not understand who are responsible for you not being able to pay for certain things with bitcoins. Bitcoin cannot be used to pay certain bills or your mortgage, because some governments does not want to allow Bitcoin to be legal tender.

They are doing this to protect their monopoly over the creation and manipulation of the wealth of their citizens. (They determine inflation baskets and how much the supply of Fiat currencies will be)

Bitcoin can be used to pay for all the things you listed, if the governments and Banks allow it, but they will not do that to protect their control and power over their citizens.  

[davis196]

Can you pay your Mortgage with Bitcoin?
Can you pay your house rent with Bitcoin?
Can you pay all your bills with Bitcoin?
Can you pay your medical bills with Bitcoin?]

You can pay for all those things with BTC, when the banks and corporations start allowing BTC payments for mortgage, bills and medication(which might never happen).
I think that you missed the point here. Saylor is talking about the good old "be your own bank" concept in regards to Bitcoin.
Of course that Bitcoin is not a bank, Bitcoin is a currency. It's like saying that the US dollar cannot be a bank. A currency cannot be a bank.
Bitcoin is a store of wealth and you could keep this store of wealth in your house, without relying to any third party to pay you interest rates and to manage your funds for your own benefit.

[Outhue]

OP I pay all my bills with Bitcoin, the receivers don't accept Bitcoin so I have to convert my Bitcoin into Fiat using Binance Exchange P2P Network, and it's not that hard to do, the difference is I am not using Bitcoin to pay directly because the government don't want to see that happen, Bitcoin is a threat to the Banking system, this can change in the future when Bitcoin becomes a legal tender.

[Ataiwo913]

Bitcoin is an electronic cryptocurrency. You can buy this with your debit card or credit card and it is stored in a bank account so that you can use it like cash to pay for daily expenses. These transactions are verified by miners and hence they help the network to confirm that no double spending has happened. Bitcoin transaction are not reversible and hence it cannot be used like a normal peer-to-peer transaction.
Because of its peer-to-peer nature and anonymous transactions, bitcoin is not beholden to regulatory bodies such as banks.

[Gayong88]

• Can you pay your medical bills with Bitcoin?

Deceiving newbies with such a statement won't get Bitcoin the required recognition. It would only lead to more confusion and uncertainty as Banks have done for so long. Such a statement from a Bitcoin influencer would only tarnish the image of Bitcoin. Mcafee was known for such statements.

 

Related Paying medical bills with Bitcoin also doesn't seem like it can't be done yet and is becoming a common practice. Maybe in some places While some medical providers may accept Bitcoin as a form of payment it doesn't feel like it's a widely accepted option yet. and I think this needs to be explained properly so that there are no further misperceptions in the future.

[Rupok]

Many things have to change with time.  The nation is changing now. The economic condition of the country is also changing day by day and adding something new.At one time people had no idea about cryptocurrency, did not know about Bitcoin.  But nowadays most people in the country know about Bitcoin.But if you look now you can easily exchange your bitcoins through p2p in less than a minute.You won't be able to exchange anywhere else in such a amount of short time.Not only that, no bank in the country can.Banks in most countries are now using Bitcoin.  I think everything is possible with Bitcoin if the country has acceptance.

[Godday]

Bitcoin is a decentralized system whereas conventional banks are a centralized system.  Those are two different things.  And both also have different functions and purposes even though they are both forms of finance in today's modern life.  At a traditional bank you are expected to get financial services such as saving your fiat currency, making deposits, making loans, or making your mortgage payments.  You can do all of that because a traditional bank is a centralized system so that the bank can supervise you and all parties involved.  Meanwhile, Bitcoin and most cryptocurrencies are decentralized systems so that you have full control over managing your assets.  You can do whatever you want with your assets.  And if something like fraud or fraud occurs you are fully responsible for your crypto assets.  Hope this helps you understand how and why BTC can't be a Bank and a bank can't be like a cryptocurrency.  Thank You!

[Petz415]

It's not a mortgage, but in theory, you can buy a house, condo, flat with bitcoin: https://cryptorealestate.cc/

[wiss19]

Obviously, because it was only just a simple currency. It was not a company just like a bank however many people think that Bitcoin can be treated as a bank because you can invest or store your money on it. Also, they think that it is better than the traditional banks because Bitcoin is decentralized and the problems in a common bank can't be experienced here.

Another is that, we are keeping our money in the form of Bitcoins and not in local currency of fiat so we are sure that our money will still be the same and won't be affected by the hazards of the inflations. If we are patient enough to HODL for the long term, there is also a chance that we can increase our investments by a lot of folds.

[MoonOfLife]

Another is that, we are keeping our money in the form of Bitcoins and not in local currency of fiat so we are sure that our money will still be the same and won't be affected by the hazards of the inflations. If we are patient enough to HODL for the long term, there is also a chance that we can increase our investments by a lot of folds.

If you are sure that bitcoin is safe enough than a bank deposit and can be profitable in the future, I suggest you sell your house and all your assets to invest in bitcoin. Because in a few years, you will have more houses, and more assets, and you will be financially free without having to work. If bitcoin investment is so good, then I believe those who know bitcoin earlier than you have already bought it all will not be your turn.
Bitcoin is an investment and it is also risky, so invest or give advice fairly.

[crwth]

You may have a different interpretation of it, OP. From my perspective, he is trying to say that it's like a bank, not necessarily a bank in which the function is like banks, but the aspect that you could keep money in it.

• Bitcoin cannot lend out because satoshis have to come somewhere, and it won't magically appear in your account, which means that it cannot lend out.
• It won't gamble since you must remove it from the bank; it will be invested if you remove it from your address.
• Move or freeze, Bitcoin won't do that to itself

It's a playful thing with "being your bank," IMO. I need to see how it deceives newbies. As long as they ask what it is about, it cannot fool anyone, or it's not something that is taken to be a scammy type of thing.

Additionally, as long as you send BTC to someone who accepts it, it will be paid with Bitcoin. That's already an application.

[Myleschetty]

Michael Saylor is a fierce Bitcoin defender and enthusiast. I believe he was commenting on the importance and benefit, of liberation that people will from Bitcoin which why he make the statement " It works all the time, everywhere in the world, and is unstoppable."
Bitcoin only makes people be their own bank.

[maydna]

I don't want to think about using bitcoins to pay for all of that yet because I'm still trying to collect a lot of bitcoins so that I'm ready to go when it becomes easy. Right now, I still pay for everything in fiat as I used to, and I'm not complaining about it, and I'm also trying to own more bitcoins.

But such recognition is true because most people who own bitcoins may be unable to use them freely and still use them as an investment asset. And so far, we've been fine with it that way, and some have waited until they can use bitcoin as payment.