The Relationship Between Cryptocurrency and Traditional Banking

[yazher]

They are threatened because they have been doing the best they can to sabotage the rise of bitcoins and they not gonna stop until they have also full control of it since it was launched more than a decade ago. They don't like to have competitors since they are already crowded and they have been doing good business before bitcoin's era. When you see some group on the internet saying bad things about bitcoins and they are always hostile against it, know that it is one of their people and they might come up with some new hoax again, thankfully people always ignored them since Bitcoin's price has kept rising since its beginning.

[Bigsharp]

Actually cryptocurrency is not a threat to traditional bank but traditional banks see Bitcoin as threat reason been that imagine now 2022 you kept $20,000 in your bank account how much interest I will bring and you bought Bitcoin worth $20,000 in 2022 how much interest you will make by now
So traditional banks use our saved money for other businesses since we keep our money in Bitcoin to give huge profits over the year so the traditional bank sees bitcoin as threat

[Wiwo]

Cryptocurrencies are not threats to traditional banks. Many countries banned bitcoin and all other cryptocurrencies in the past but after some of them know about what cryptocurrencies are, they unbanned them. Today, all countries that accept cryptocurrencies and the ones that are very friendly with them have no problem, their banking sector has no problem. You can even see in those countries that some banks are allowed to hold coins and tokens for their customers. Banks can even embrace cryptocurrencies.

We are far from the misconception that Bitcoin is a threat to the traditional financial system,  banks have misled governments on the real ideology and role of Bitcoin in the economy and for sure cryptocurrency is just an alternative and not a replacement for the traditional financial system.

But now some countries are beginning to have a better and clearer understanding of what role cryptocurrency plays in the financial system and at that, they are beginning to take advantage of the freedom and independence that comes along with cryptocurrency,  but for now, in my country I haven't seen any bank in my country making public ownership of bitcoin or any other coins since the central made a reversed statement on the ban of bitcoin and other digital currencies

[Abiky]

Cryptocurrencies and banks will interact with each other, co-exist and benefit each other.

I'm afraid so. We can blame developers for not prioritizing decentralization. Crypto would've been a threat to the existing banking system by now. 

I like to have choices and honestly I still use bank transfers. Not all of my fund transfers is processed through cryptocurrencies.

Only newbies think that cryptocurrencies will completely replace and kill fiat currencies, banks some day in future.

The dream has always been to use crypto and avoid banks altogether. Why do you think Satoshi created Bitcoin? Because he wanted us to trust a decentralized cryptocurrency instead of banks which subject to corruption, manipulation, and fraud. These same entities are the ones responsible for the fractured global economy. Just because they have a "money printer", doesn't mean they can do whatever they want.

With Bitcoin, the power is given back to the people. One would hope it doesn't turn centralized in the long run. As long as individuals (not corporations) hold most of BTC's supply, there should be nothing to worry about.

[TheUltraElite]

Actually cryptocurrency is not a threat to traditional bank but traditional banks see Bitcoin as threat reason been that imagine now 2022 you kept $20,000 in your bank account how much interest I will bring and you bought Bitcoin worth $20,000 in 2022 how much interest you will make by now
So traditional banks use our saved money for other businesses since we keep our money in Bitcoin to give huge profits over the year so the traditional bank sees bitcoin as threat

You conclusion is correct but the reasoning is wrong. A certain bulk of bitcoin bought back in time is worth more that the buying price is not the reason why banks dont like bitcoin.

Banks are centralized and they are censorship prone, while bitcoin is not so. This is why banks dont want people to invest in bitcoin. But it is also true that without the banks you will face monetary problems depending on where you live because living on crypto is not complete yet.

The trading profit from bitcoin is not be considered here - indeed it does give much returns in that but that was never its main purpose.

[Benedictare]

   The relationship between traditional banking are,

   Cryptocurrency is getting more totality and advanced into a better state of relationship ,it also gives an option to traditional banking method,  gives instant transactions and low fees.

Cryptocurrency can use the service of traditional banking to give their customers easy liberty to Fiat currency,in other for it to be easy for customers to buy and sell cryptocurrency.

   Traditional banking can use cryptocurrency to improving payment services by using blockchain technology to fasten and reduce their cost of payment internationally.

   Traditional banking can give custody to cryptocurrency by making customers to keep their cryptocurrency safe and secure in the bank.

   Many cryptocurrency exchanges and wallets request users in linking their bank account for proper fund transactions processes

[harapan]

Cryptocurrencies are not threats to traditional banks. Many countries banned bitcoin and all other cryptocurrencies in the past but after some of them are knowing about what cryptocurrencies are, they unban them. Since today, all countries that accept cryptocurrencies and the ones that are very friendly with them have no problem, there banking sector has no problem. You can even see in those countries that some banks are allowed to hold coins and tokens for their customers. Banks can even embrace cryptocurrencies.

 Cryptocurrency are not threats to the banking system,they are simply existing predominantly and making lasting changes in the history of economics just to promote financial stability.

 The only threats that I see as a threat is that traditional banking system are scared of losing their large generation of customers in the hands of crypto assets,because they feel that they are investing huge sum of money into cryptocurrency and that way there're promoting the growth and stability of crypto assets.

  With reference to information and news content drawn,a recent study by Piplsay shows that 38% of Gen X, 49% of Millennials and 13% of Gen Z own cryptocurrencies.Gen Z is relatively obsessed or connected with cryptocurrencies,that is to say banks are gradually losing their leading roles,as in an important leading role to the crypto industry.
 Although it doesn't really seem like a threat,but all of these are challenges that the banks will need to face and overcome.