Another reason am chosing bitcoin.

[o48o]

Something happened today which makes my choice of bitcoin more stronger than the centralized fiat and traditional banking system.

I transferred some amount of cash to someone to get me a few items I would be needing for my project at hand, a day after I received a call from the him that his account has been freezed due to the amount received into the account that the bank told him it was above the account grade and he has to come with some required documents for the upgrade to a higher tier and this has to shift my schedule I have arranged for my project to a day further.

While I was with a feeling of  disappointed I recalled I have been stacking a few unit's of bitcoin in my wallet and have never experienced this crazy shit neither have I heard any bitcoiner make such a lousy complain about bitcoin whatever the amount of bitcoin transfered into their wallet. I don't think there's anyway the fiat system can be compared to bitcoin, the more experiences I encounter the more I see how advanced and greater purposes bitcoin serves.

Well same thing happens occasionally with CEXes to some people as you might as well replace CEX with a bank.

If your plan is to move that bitcoin because someone wants to cash it out and spend, then any centralized entity that deals with the payment and fiat money can freeze your account. We are ultimately dealing with fiat money, and sadly that is the bottleneck for the bitcoin. Until there comes a time where we measure value in BTC and not fiat money, we are stuck with dealing with fiat money.

Only when you are directly changing goods with btc, you are using the power of bitcoin. And by directly i am talking p2p, where the receiver gets to keep the btc. Not any crypto debit cards or payment systems where you pay with bitcoin, but it automatically converts it to fiat and receiver never even sees the btc.

[tranthidung]

The simple fact Bitcoin cannot be frozen the way fiat money often is makes BTC/Crypto a great choice in many situations. Bitcoin is one of the few truly great things to happen this century!

Bitcoin is Bitcoin, can not be frozen in your wallet by any third party if only you have the private keys.

Crypto is too much, because it includes altcoins that are possible frozen by third party entities. For example.

• PSA: Most Stablecoins Can Be Frozen, Even in Your Own Wallets

This is true, but it's only effective if the holder is making use of a self-custodial wallet and isn't leaving their bitcoin holdings in a custodial service, as there will be no difference between that and those who hold fiat on their regular bank account.

It's your private keys, it's your coins!

Your warning is correct! People must use self-custodial (non-custodial) wallet to have private keys and to own bitcoins by themselves. Expand it more, it should be open sourced wallets too.

• Reminder: do not keep your money in online accounts[/url

[Doan9269]

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The advantages of using bitcoin over fiat are many, we cant keep on the count till we get tired, there are many instances of this same scenario whereby many were regretting till date that why are they not having an alternative source to using the fiat currency, until bitcoin was introduced and the people quickly embrace the use after discovering the numerous opportunities that bitcoin can serve them if adopted.

[justdimin]

Something happened today which makes my choice of bitcoin more stronger than the centralized fiat and traditional banking system.

I transferred some amount of cash to someone to get me a few items I would be needing for my project at hand, a day after I received a call from the him that his account has been freezed due to the amount received into the account that the bank told him it was above the account grade and he has to come with some required documents for the upgrade to a higher tier and this has to shift my schedule I have arranged for my project to a day further.

Banks making life harder is a great reason to be there, I also love it because I have a job that pays me in bitcoin and that means if I had to use fiat, then things would have been super harder, wouldn't really make sense for me at all, would be incredibly tough.

What I need to do in this moment is just take care of the wallet address and check if it's correct or not, that's it and we are going to be fine if we do that with bitcoin, but with fiat that's not the case. Imagine being so forced to use paypal or anything smaller than them just because if you dislike paypal, and then you are basically at the mercy of paypal and what they do, that's all we had for global payments in small scale and that never made sense to me. Bitcoin basically saves lives at this point.

[Lida93]

How much is the amount that you put into your friend's account? I mean you know that you are transferring a huge amount of money. Why didn't you ask the limits of his bank including the amount of money that he can receive on a daily/monthly/yearly basis? That's being irresponsible on your part. Take note that you're transferring a huge amount of money (huge enough to make an account freeze), so at least put the limits into consideration.

I don't think it's irresponsible thou because it has happened to me several times and it wasn't always my fault. I see them (traditional banking system) as incompetent with their limit policy in the first place restricting people from accessing their funds. My first experience was very frustrating because I wasn't informed about the incoming transfer from the sender but the money was freezed until I had to go and update the account to increase the account limit. Even after the upgrade,  it took almost a month before I received that money.

This is nothing out of the ordinary and it can't be said to be an act of irresponsible. The traditional banking is getting more frustrating and worse with their banking policies as society advances. And all this they do by the instructions of the authorities who have pocketed them, regulating all their activities. In my country Nigeria they regulate how much you can withdraw as an individual both on the cashier desk and from the ATM, transfers and deposit all regulated to a limited amount depending on the documents provided while opening the account with the bank. 

[Zoomic]

I had a similar experience with the traditional bank last month. My account was frozen because it hasn't been used for a very long time. I transferred money into the account but couldn't withdraw the money when I needed it because I needed to do another KYC which would take days to get approved. I have never been that stranded with bitcoin. Aside this, the constant maintanance and transactions charges including VAT and many other charges are so high that it will prompt anyone to seek for an alternative banking system just to have peace of mind.

Decentralization is obviously the solution to all the troubles we are going through with the traditional banks and  it is because of this and many other reasons that is why I will always rate bitcoin higher than any form of currency in the world.

[Iranus]

I have never heard of such a case in the Bank because of the reason that the amount of money does not match the account. As far as I know, the Bank has never made such a rule and there is no withdrawal limit when you withdraw money from their teller. Unless you use an ATM card, it is true that the withdrawal limit is adjusted to the model of the card we hold. So I don't have the problem like you said and even I have withdrawn money from their teller in large amounts for one process it went well.

We always try to compare, but like it or not, banks are still quite necessary and I see bitcoin as another step where it is only for investment matters. When faced with business, I still need a bank to transfer the amount of money needed and that still helps me quite a bit.

I don't know if there are differences between countries, because I've been using a bank account for over 20 years and I've never had any problems withdrawing money. Whether it's a large amount or the entire amount in my account, the transaction goes very quickly and doesn't take as long as many people complain.

I agree with you, the topic of comparison between bitcoin and banking has been discussed many times before but in the end I guess no one will ditch their bank account and just use bitcoin. Honestly, we will still use and even depend on banking in life even if it gets worse.

Not to mention, bitcoin is not as perfect as we think, once it took me 7 days to complete a transaction because the bitcoin network was congested, and I think this also causes a lot of discomfort for anyone who has ever fallen into this situation like me. Both have pros and cons, no one is perfect.

[tabas]

It's normal for these banks to verify the deposits and transfers. But it will be odd if the amount isn't that much and that's only a payment for something that you've purchased online. Based on your story, it looks like you have transferred a huge amount that triggered the bank to make that call and have some follow-up for another KYC. And that is true that with Bitcoin, this won't happen if you're going to send a payment to another wallet but it can also happen on exchanges if you deposit amounts that are out of your limits.

I didn't write this in my reply above but I know that is goes without saying that P2P trades are just seen by the banks as random transfers from one person's account to another, and comes with extra risk especially if they are transfers between international banks.

I think they are flagging some accounts if some activities aren't often like huge transfers happened all of a sudden and that's one factor that triggers them to check out that account and transaction.

Domestic transfers and wires from reputable companies usually don't trigger this sort of investigation because in this case the banks can find all the info that they need.

I agree but if the history of both or one of the accounts aren't the usual transfer like what happened to OP, that's what made that bank checks out for more.

[Zaguru12]

What? Account grades for what?

I have never heard of such a thing where I'm living.

Sure, I hear that your account can get frozen if the bank thinks you are receiving way more money than they think you can afford or something along that lines - to prevent money laundering - and all that can go away by giving them a certified source of funds document. But what you are describing sounds crazy to me.

We should all be thankful that Bitcoin doesn't come with this kind of BS.

I see OP’s post been looking crazy I think it’s a country thing because what OP has actually written is definitely the truth which I have had to face from my local bank in the past. The problem is mostly on an account which you open without providing government owned documents like the national Identity Card, they simply set a very low limit of capacity that the account can hold, very little amount it can also withdraw or transfer per day. I will say it is simply just like the CEX with KYC protocols they simply give you limited access to your account and if you don’t provide full KYC and receives large amount of money they don’t bounce it back but withheld until the KYC is passed. It’s not strange but thanks bitcoin though.

I didn't write this in my reply above but I know that is goes without saying that P2P trades are just seen by the banks as random transfers from one person's account to another, and comes with extra risk especially if they are transfers between international banks.

Yes it’s simply two individuals just sending each other money and nothing more, that’s why in countries where cryptocurrency trading is illegal they resort to P2P because banks cannot identify where the money is from. They only way they cam know is probably the sender has registered his account with crypto tag or maybe the transaction has a crypto word as narration, and the amount is huge

[CoinFoxs]

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The advantages of using bitcoin over fiat are many, we cant keep on the count till we get tired, there are many instances of this same scenario whereby many were regretting till date that why are they not having an alternative source to using the fiat currency, until bitcoin was introduced and the people quickly embrace the use after discovering the numerous opportunities that bitcoin can serve them if adopted.

Bitcoin has many advantages as it make you financially stable but on the other hand fiat is accepted all over the world while bitcoin is not accepted worldwide like fiat so it will take time but for financial freedom bitcoin is always best option over fiat and anyother currency.

[AYOBA]

Something happened today which makes my choice of bitcoin more stronger than the centralized fiat and traditional banking system.

The Bitcoin have become very strong than the the centralized banks since it has helped a lot of people in every angle, because bitcoin can allowed you to do transactions from one person to another without facing any networks challenging and that’s many of people to use the bitcoins network than access the centralized bank’s fiat’s.

I transferred some amount of cash to someone to get me a few items I would be needing for my project at hand, a day after I received a call from the him that his account has been freezed due to the amount received into the account that the bank told him it was above the account grade and he has to come with some required documents for the upgrade to a higher tier and this has to shift my schedule I have arranged for my project to a day further.

The reason why I preferred the bitcoins even in terms stored my assets is that, the will never know ask you that the amounts of money or the transaction you made into your wallets will no longer withdraw due to the wallet issue is only the traditional banks that are facing that issues, you can input what ever you like in the bitcoin wallet without ask you to go and upgrade your wallet accept the person didn’t intact his details correctly.

[Nrcewker]

Banks follow strict rules and regulations. Their system is designed in such a manner that it will be automatically triggered if any unwanted movement is done. But this is done by the government to ensure the safety of the people and for money laundering issues. But yes, this sometimes becomes pain for many legit people. As here in the case of OP, many people need money in emergency situations. In such a type of situation, paying through Bitcoins or crypto can really help them to get the things done in a quick manner. So yes, I would say Bitcoins have an upper hand in this type of situation.

[Dr.Bitcoin_Strange]

Well, yes, Bitcoin is not centralized, just like banks, which operate on a centralized system, and every law they enforce is an order taken from the superior office, but Bitcoin is not like that. You can store as many bitcoins as you want in your Bitcoin wallet, and no one will freeze your wallet and no body will even know if you are the owner of the wallet unless you open up to someone.

If your friend was aware that his bank account couldn't accommodate the amount you sent to him, why didn't he upgrade the account before asking you to send the money? 

[SamReomo]

It's a good reason to choose a decentralized finance system like Bitcoin than traditional banks that works on the basis of centralization.

You aren't alone OP, most people have chosen Bitcoin and other crypto-currencies because of the same reason and they don't really want to move back to that traditional banking systems again.

I know we are still far away to fully rely on crypto-currencies and avoid fiat but at least we can be part of a community that prefers Bitcoin way more than fiat and uses only fiat where Bitcoin or crypto-currencies are not acceptable.

Who knows there might comes a day when we may have option to pay for goods and other things using Bitcoin and cryptocurrencies only.

[Distinctin]

That's why Bitcoin is better than the banking system, because when you use Bitcoin in your transactions it means you have full control over your assets and when you make a transaction there is no party that can intervene in your assets or the transactions you make. Unlike the banking system where when the bank suspects your transaction, they are able to intervene in your account and freeze your account unilaterally until you can prove the transaction is safe or not. This is the weakness of a centralized system where one party can easily manipulate or intervene in anyone on their system - and for that Bitcoin is really the best.

With bitcoin, your transactions are not limited and won't engage any third party for your own account, but with banks, know that there are always set limits on the amount you are going to deposit and if they find one account suspicious, automatically it will be monitored by them and freeze the account if they want. Something that we don't get to experience with bitcoin. That's how advantageous Bitcoin for us compared to fiat and banks.

[serjent05]

The beauty of decentralization where there is no central authority that can meddle with one's funds.  Aside from financial profit, it is also one of the major reason why I like BTC.  Holders have the freedom to own how much they want unlike banks that intervene with their client's accounts when their clients exceed the threshold.

I know we are still far away to fully rely on crypto-currencies and avoid fiat but at least we can be part of a community that prefers Bitcoin way more than fiat and uses only fiat where Bitcoin or crypto-currencies are not acceptable.

At least we can rely on Bitcoin for online payment. Many government already acknowledge Bitcoin as mode of payment and with that many online platform has option for Bitcoin payment.

Who knows there might comes a day when we may have option to pay for goods and other things using Bitcoin and cryptocurrencies only.

I do hope that we can use Bitcoin for p2p microtransactions where we can buy coffee with BTC without worrying much that the transaction is much higher than the cost of goods.

[CageMabok]

Bitcoin has many advantages as it make you financially stable but on the other hand fiat is accepted all over the world while bitcoin is not accepted worldwide like fiat so it will take time but for financial freedom bitcoin is always best option over fiat and anyother currency.

Because Bitcoin has a better and greater level of financial freedom than fiat, most people who have known and owned Bitcoin will always keep and store Bitcoin after they buy it using fiat. And if there is something that can be more valuable to be owned by everyone in this world, of course they themselves will also see if it can be obtained by relying on fiat. Because people who are willing to throw away fiat for something more valuable will never lose financially, especially when they want to get Bitcoin through the market which can still be done by entering fiat into the market.

[Hatchy]

Something happened today which makes my choice of bitcoin more stronger than the centralized fiat and traditional banking system.

One of Bitcoin's key features is decentralization, which has improved many important aspects in the financial system where the traditional system has failed. Bitcoin offers unlimited storage for users without requiring a verification process to store more funds in their wallet. As long as you don't store your coins in centralized storage, you have complete control over your funds. It's surprising that people still doubt this technology, as no government institution can hold large amounts without raising suspicions about the source of the funds. With Bitcoin, you essentially become your own bank. Just learn how to store your keys securely and keep your funds safe. In my opinion, Bitcoin is the most amazing technology created by humans so far

[Churchillvv]

Sorry to say but this story sound very unbelievable because from the events you explained there is nothing connecting bitcoin to solving you immidate problem,

It seems you didn't read the how paragraph very well before make this comment.
Reading down everything you said, it shows that you contradict yourself. Op said the event is one of his reasons why he would choose bitcoin over fiat because accounts have limits which the can receive but in bitcoin it's not so. which is basically relating to his story as you called it.

The only mistake op made was not to have asked the recipients credit limits before sending a huge amount that is worth freezing. aside that I think you're making a mistake with your response by trying to push a point that op's story isn't true.

[Odusko]

what is more often experienced by fiat users today is when making large cash withdrawals, the bank asks for the reason for using the funds. does that happen to banks in your country?

Yes this is a normal norm's here in my country, most Bank have a daily transaction one time deposits and withdrawals, i remember a situation that happened with a business man who bought a landed properties and when he want to make payment from his account, the bank did not allow him, and the bank needed to send a representative customer agent from the bank to come have a physical assessment of the properties before the transaction was initiated, so indeed banks will never like customers moving out huge sum from their account.
But with bitcoin you can spend any amount without restriction or control since you are your own bank unless you used centralised bitcoin services such as cryptocurrency exchanges who are highly centralised in Their operations.