The importance of Bitcoin in avoiding corruption in the banking system.

[Scarlett_23]

The oldest and most popular cryptocurrency is Bitcoin. Its current market value is 117.934. It is a completely decentralized currency. Its main goal is that it is better for no one to control the monetary system than for a few people to control it. That is, no country, government or group in the world can control it. Bitcoin is designed this way. That is, Bitcoin starts to come out of the centrally controlled economic system. In the most traditional or conventional way, we deposit our hard-earned money in the bank so that it is safe. However, corrupt bank officials try to embezzle customers' hard-earned money in various ways. And we saw this during the American economic crisis in 2008.

In the global economy, one country is similarly tied to another country. There, a situation has arisen in developed countries like America. Which has affected the entire world. The American people have blamed the centrally controlled economic system and big banks. At that time, the banks used to give this money to various investment institutions and those institutions used to invest this money in risky businesses. Which they later failed to return. In view of this global situation, Satoshi Nakamoto published a white paper. And tried to convince the world about a digital currency called Bitcoin. He also gave the idea that it would run without third-party intervention.

After that, many more crypto currencies came into the market. But it could not be as transparent and long-term as this currency. The influence of Bitcoin on other digital currencies is felt. Therefore, if the price of Bitcoin increases, the price of other crypto currencies also increases. On the other hand, if the price decreases, the price of other currencies also decreases.

[Pablo-wood]

In the global economy, one country is similarly tied to another country. There, a situation has arisen in developed countries like America. Which has affected the entire world. The American people have blamed the centrally controlled economic system and big banks. At that time, the banks used to give this money to various investment institutions and those institutions used to invest this money in risky businesses. Which they later failed to return. In view of this global situation, Satoshi Nakamoto published a white paper. And tried to convince the world about a digital currency called Bitcoin. He also gave the idea that it would run without third-party intervention.

Will bitcoin stop people from investing in risky businesses? We all no the answer is no, everything might be quite transparent but how loan are been spent can never be regulated. As an asset bitcoin isn't safe as a loan tool because of its volatility. Imagine taking a loan in bitcoin and when the time is due for payment you are expected to pay the exact equivalent of the said debt which could either be higher than what was taken or lower depending on the market flow at that point.

After that, many more crypto currencies came into the market. But it could not be as transparent and long-term as this currency. The influence of Bitcoin on other digital currencies is felt. Therefore, if the price of Bitcoin increases, the price of other crypto currencies also increases. On the other hand, if the price decreases, the price of other currencies also decreases.

Bitcoin is best for investments and reserves. Price fluctuations just makes the investment more fun and makes the currency view less considerable.

[Japinat]

Corruption still exists, and even if we think Bitcoin could somehow solve it by moving away from fiat, the truth is that approval still goes through the government. sure, we can use Bitcoin because it’s decentralized and doesn’t need government backing. But the problem is, what if the government suddenly makes it illegal? Even if we enjoy the privacy, we lose the freedom since we’d technically be doing something illegal.

honestly, I think we just have to live with the current state of things. Corruption won’t be fully eliminated, because humans are naturally greedy, and that’s not something technology alone can fix.

[happybitcoinph]

The Banking system is a banking system. The Bitcoin system is the Bitcoin system.

There's no way Bitcoin can solve the corruption, or even minimize it.

In fact, cryptocurrencies became more beneficial and are being taken advantage of by those who want to corrupt.

[d5000]

This isn't actually a "yes" or "no" question. Bitcoin can provide opportunities to fight corruption in the banking / financial system that weren't present in early monetary systems, at least very likely. But that depends highly from how people use it.

In theory, Bitcoin removes the need for people to open an account at a bank to manage their money. This means that if Bitcoin wallets became really widespread banks would have one "easy" income and capital stream less so their business model would be pressured to deliver more quality. They would need to concentrate on investment banking and on providing real value to their customers (mostly businesses and people needing investment advice), having less leeway to invest the money in shady endeavours. Another way to reduce corruption "induced" by Bitcoin could be more general knowledge about transparency. If people require banks to be more transparent, because they have read how Bitcoin's transparency eliminates the need for trust, then another source for corruption would dry up.

But we're not there yet. Bitcoin is not competing with banks at this time. BTC is perhaps competing to a very limited extent with some investment products banks offer, but nothing which puts the current business model for banks in danger. And of course as long as we use centralized Bitcoin service providers (exchanges etc.) of all sizes which have often even worse behaviour than banks (FTX, MtGox ...), then nothing has really changed.

For Bitcoin really having an effect on corruption on the financial system, people would have to use Bitcoin differently: using less centralized services (store everything on your own wallet with your own keys) and if a service provider is really needed, insist more on quality and transparency. Also volatility would have to lower, so people can really use BTC as an alternative to a bank account.

[ancafe]

The oldest and most popular cryptocurrency is Bitcoin. Its current market value is 117.934. It is a completely decentralized currency. Its main goal is that it is better for no one to control the monetary system than for a few people to control it. That is, no country, government or group in the world can control it. Bitcoin is designed this way. That is, Bitcoin starts to come out of the centrally controlled economic system. In the most traditional or conventional way, we deposit our hard-earned money in the bank so that it is safe. However, corrupt bank officials try to embezzle customers' hard-earned money in various ways. And we saw this during the American economic crisis in 2008.

Bitcoin is always associated with certain things, but if the approach is not taken, Bitcoin will not be able to solve any problem. For example, if someone says Bitcoin is the solution to achieving financial freedom, but if someone is unable to utilize it, the opportunity is useless. Bitcoin is also used by some people for crimes such as money laundering because it is run by humans themselves. Regardless, all of this is driven by human activity, and if it's exploited for negative purposes, it can become negative, and vice versa.

It seems ridiculous when Bitcoin is linked as a solution to corruption, poverty, and other social impacts. If that's the case, gold offers the same reliability, as one can store gold compared to keeping money in a bank. Bitcoin seems superior because it's able to generate such rapid adoption because people see it as a hedge.

[Webetcoins]

I highly doubt that we can leave banking on the side with just bitcoin. Remember, the point of banking, isn't just to store your money, most people do not even hold that much money in the bank idle.

Either you invest it, or you use it, you do not just put it in there idle doing nothing.

The amount of people who use loans, credit lines, savings accounts, basically things with that money, is the thing that keeps those banks going.

Even a very simple savings/loan bank, that just gets money from people and loan it out to others, uses the money. Bitcoin doesn't do that, you just either have it, or don't have it, that's it.

[Jatiluhung]

If everyone used a decentralized system where everything was clearly visible and transparent, as we can see in blockchain transactions, then corruption could be prevented to some extent. However, this would only be possible if everyone used it. The reality is that we are still in a centralized system, and bitcoin is only considered a commodity asset in most countries. Only a few countries recognize Bitcoin as a legitimate payment or transaction tool. As for corruption, I believe it will persist as long as human greed and dishonesty exist. Corrupt individuals often find ways to engage in corrupt practices, even if everyone were to adopt a decentralized system.

[fredericktaylor]

The main purpose of creating Bitcoin is freedom, meaning that a person can control his own money and withdraw it whenever he wants or send it to someone without the need to recommend it to a third party.

It is true that reducing corruption depends on how a person is using Bitcoin. to build a corruption-free country, the people of the country must first be honest and aware. when people are completely dependent on Bitcoin, people will not need to go to the bank, no government or bank can control your money, so it is possible to reduce the amount of corruption to a great extent. every person must be responsible many people still store Bitcoin in a centralized manner. leaving the centralized option, you have to choose the transparency of the people. You will need to keep a personal wallet instead of keeping Bitcoin on various exchanges.

Remember one thing, not having the key means not having any Bitcoin. greed forces people to commit corruption, so being honest and aware will help reduce corruption in the country. Bitcoin was never created to destroy the core economy of a country. it was originally created as a decentralized alternative financial system where people would invest freely without having to rely on any country's government. the aim is to create a new way to build a financial freedom and a corruption-free transaction.

[Kiddo15]

The banking sector has been one of the fortress to which government and it's institutions used to steal money and control the economic power of citizens, they use the CBN to set new interest rates, they create currency devaluation and also creat inflation and all of these is so that they can manipulate the entire food-chain in the economy.

When you look critically the Aura that Bitcoin comes with, it invalidate all of those bottlenecks that is been created by the government, Bitcoin allows independent control of your money and doesn't allow manipulation as it is always seen by the banks.

[rachael9385]

The banking system has never been safe and it's still that way till date. It's no surprise that the money that are being saved by people in the bank are used to do other things, like giving out loans to big business owners and tycoons, some banks even use these resource to trade in the financial market. This has been a medium that been used to steal from people. Just recently a woman in Nigeria got debited for a transaction she didn't initiate and it was over a million naira. This would always make Bitcoin more safe.

[boyptc]

One thing with the banking system is that they can be bankrupted by just simply filing a chapter 7 or 13. And not just that, if there is an economic turmoil, the banks can simply stopped all of the withdrawals to delay the panic of depositors upon doing batches of withdrawals.

Whilst for Bitcoin, it is in our hands except those that are deposited in exchanges and that's in the same situation in the banks.

But if we're the one who's holding it, we hold our wealth and there is no third party intervention and we're free to move it in and out anytime we want to.

[Pi-network314159]

From your statement, that bank embezzle customer fund for business, but I don't think I have heard that before. But I know that bank uses people fund to give loan to some organization and makes profit from it, and that has been in existence for decades and it's not embezzlement. And I don't even think that was the reason Satoshi nakamoto created Bitcoin. He just wanted to creat a decentralized system of money that can be controlled by an individual without a third party. So if Bitcoin was created to eliminate banking procedure then by now people should not have been using bank anymore. Bank will be bank and Bitcoin will be Bitcoin, both will work side by side. The fact is that bank may use your fund for business purposes biut doesn't mean they will not give you your money when you need it. It can only becomea an embezzlement when bank can't refund you again.

So the fact is that there must always be corruption both in bank and and the economic system and Bitcoin emergence can not stop it. Bitcoin only come to assist people to maintain privacy and not to fight corruption.

[roemer]

the u.s. dollar has been used for a long time for corrupt activities. There is no difference between any fiat or trade of value and corruption existing.

[DanWalker]

Corruption still exists, and even if we think Bitcoin could somehow solve it by moving away from fiat, the truth is that approval still goes through the government. sure, we can use Bitcoin because it’s decentralized and doesn’t need government backing. But the problem is, what if the government suddenly makes it illegal? Even if we enjoy the privacy, we lose the freedom since we’d technically be doing something illegal.

honestly, I think we just have to live with the current state of things. Corruption won’t be fully eliminated, because humans are naturally greedy, and that’s not something technology alone can fix.

If suddenly governments of major powers like the US, EU or BRICS simultaneously ban bitcoin. That could be the end of bitcoin, let alone it becoming popular and widely used.
Even though bitcoin is decentralized, but our world is still centralized and controlled by governments and Bitcoin is just a small part of the world so it won't be able to make any big changes. The emergence of bitcoin only helps us reduce our dependence on governments to some extent, but cannot help us escape from them completely.

As for corruption, we have it too, so don't criticize politicians for being greedy and selfish. Because human nature is greedy, selfish and jealous...and that's human behavior, bitcoin can't solve that problem.

[AVE5]

The governments are criminals on their own operating under legal system because it really feels crazy how they don't care about your financial obligations and don't know how you've got to make your money but yet, they're authoritative to control the same of your money they don't know how it came about.
The decentralization of bitcoin and the Cryptocurrencies in it ecosystem at large is a development that has come to rescue the world from being encaged by the intruding cabals of others financial privacies because the blockchain has the potential to deny them or extremely limits them from piloting users funds with the influence of regulations.

It's literally a regulatory capture for cycle of folks in their few numbers controlling over 8 billion of people's funds in the name of governments while their own portfolio is unquestionable even while looting public funds.
It's nuisance and selfishly biased that the CBN could not even have a limited prints of the traditional currencies to an extent or in annual basis prioritize of printing based on increase of population instead they're printing exclusively for themselves without undermining the repercussions is devaluing of the fiats and during inflations a huge sum of the money will become worthless. That's why even the USD keep fallen in values back to back due to selfishness and sentimental regulatory policies.

[franky1]

The oldest and most popular cryptocurrency is Bitcoin. Its current market value is 117.934. It is a completely decentralized currency. Its main goal is that it is better for no one to control the monetary system than for a few people to control it. That is, no country, government or group in the world can control it. Bitcoin is designed this way. That is, Bitcoin starts to come out of the centrally controlled economic system. In the most traditional or conventional way, we deposit our hard-earned money in the bank so that it is safe. However, corrupt bank officials try to embezzle customers' hard-earned money in various ways. And we saw this during the American economic crisis in 2008.

bitcoins original design 16 years ago had this goal. but since "core" took over a decade ago things changed
just look how they do campaigns to challenge people to not use legacy and THEY have plans to make it so that legacy transactions wont get validated within the next 5-6 years.

they promote it as "public safety against quantum" but the reality is that people with funds on legacy keys wont be spendable in said years, so they are controlling who how and why people can spend bitcoin

they want non transactional junk on the blockchain as part of their pretend "permissionless context" of the network being subservient to cores aims as no one should deny cores goals.. but then cores goals want to put permissions on what type of transaction format is allowed by denying legacy to be allowed in 5-6 years
(kinda crazy right)

core have done many other changes which have not benefited the wider community outside their dev-politic agenda. for instance how we now have the blockchain not be 100% validated, where every byte is not validated and many bytes are miscounted and then pruned. making for a less then secure blockchain where different nodes pretending to class themselves as "full nodes" are no longer full nodes and are not helping the decentralisation effort of the full blockchain..
this lack of verifying/validating every byte has allowed alot of meaningless data bloat but not helped increase the average transaction count per block
(4x more data per block but not 4x tx count increase.. )

so if you truly think bitcoin is as decentralised as intended 15 years ago.. try doing research into what has changed and who done those changes and how they orchestrated those changes by treating any challenges to those changes as 'attacks' (which resulted in empowering core as the sole central source and reference client of the rules)

p.s i am a bitcoin maximalist and enjoy bitcoin, but i am a realist about what issues are happening to be aware of the risks presently and in future, the ethos and utility of bitcoin HAS changed over the last 16 years, so lets not just blindly repeat outdated mantra's which fool people into a false representation of safety. the point of bitcoin is not to blindly trust groups of individuals, and instead we all should be risk aware and review whats happening to be able to safely secure our wealth/value