Bitcoin vs Bank

[HelliumZ]

No matter how much people keep their money in banks, thinking that they are safe, I have already seen an incident on social media, this incident has shaken my heart. Perhaps it is an incident that happened in India, I saw on social media that Social Media X could not withdraw money from the bank, but instead came to the bank with his dead sister who died a few months ago. But how easy and confidential is the transaction of Bitcoin. So I do not believe in banks in any way, it is just to harass people, so it is much safer to keep money in Bitcoin than keeping money in the bank.
Social Media x: https://x.com/i/status/2048989530452377610

This is a heartbreaking incident that happened in India recently where to withdraw money from his dead sister's bank account, all the documents are required which is impossible for an illiterate brother to provide. For this, he packed his brother's skeleton and appeared in the bank to prove his sister's death. If this brother had kept dollars in Bitcoin, then maybe he would not have faced such harassment in the bank. People are gradually losing interest in banks and if they give such trouble, people will stop keeping money in the bank completely.

[Mame89]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

There's no competition between banks and Bitcoin because they are very different. They also have opposing financial systems, very different philosophies and different ways of working and controlling. Asset control is also very different in a bank, your account can be blocked or closed, but with Bitcoin you hold your own keys (not your keys, not your coins) and it's difficult to confiscate. My point is, holding fiat requires a bank but holding Bitcoin allows you to control yourself, so why use a Bitcoin bank?

So in my opinion, Bitcoin is not and cannot be a substitute for banks, but the two are indeed interdependent. Even in El Salvador where Bitcoin has been legalized they still use banks and use fiat as a means of transaction. So, Bitcoin is better for long-term storage of value while banks are better for everyday needs.

[snowpega]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

Well, things are moving this way slowly and gradually, and you can see now that the traditional banking system is now allowing the usage of cryptocurrency and bitcoin, so that their system stays strong with the adoption of new technology. They are smart enough that they understand that if our system is replaced with another payment system, then the future of the banking system can end, which is why they are now allowing crypto payments directly into the banks. Isn't it a smart act of them?

Haha, because they also consider bitcoin a threat because of its decentralized feature, and that is why now governments around different edges of the globe are making such kind of planning so that they can be able to regulate the crypto users more in a centralized way. And this will help a lot for governments to earn taxes from the crypto space.

[KiaKia]

There was never anything to compete about, between banks and bitcoin or even crypto as a whole, banks want to start offering crypto services because of rewards, their own pockets.

They have witnessed a defect on those who were once in power, and now the only option they have left is "if you can't beat them you join them", they are aware about Saylor and BlackRock, the pass of ETF too was unexpected.

Here we are right now, if they aren't offering crypto services in their banks for customers they are missing.g out big time, because people now prefer to either be in Bitcoin or stable coin than any fiat currency right now, this is what I see happening around me.

[Hatchy]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

Bitcoin doesn't need a bank to function. Nor does bank need bitcoin to. The fact that banks may offer crypto services is because they want to provide an alternative to keep their customers in check. Today, majority of people are beginning to move to self custody and that simply means bad business days for banks. Even if customers are to use banks they are no longer letting significant amount of money remain in their custody. Let's not forget that banks makes profits from using the savings of their customers to trade, loan and reinvest. If these funds no longer comes in, then it will be bad for them. Bitcoin doesn't need them in anyway. It operates solely without a Central authority nor do people have to line up in queue just to access their money..

[Z_MBFM]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

If we talk about my country, in my country, some banks are in default and are almost on the verge of bankruptcy and are not able to pay their customers. I myself had kept some money for emergency purposes, but I am not able to withdraw it. Considering these aspects, Bitcoin is a good place where you can invest freely and withdraw it at any time and the entire asset is under your complete control. And this concept of Bitcoin is the reason why people's trust in Bitcoin is increasing day by day. Since I got into this trouble in the bank, I have completely lost trust in the bank because this is the first bad experience with a bank in my life. Nothing centralized can provide security to our finances and Bitcoin will be ahead in this aspect. So if you compare banks and Bitcoin, then I will always consider Bitcoin to be perfect there.

[Rubuchi]

This is a heartbreaking incident that happened in India recently where to withdraw money from his dead sister's bank account, all the documents are required which is impossible for an illiterate brother to provide. For this, he packed his brother's skeleton and appeared in the bank to prove his sister's death. If this brother had kept dollars in Bitcoin, then maybe he would not have faced such harassment in the bank. People are gradually losing interest in banks and if the give such trouble, people will stop keeping money in the bank completely.

i am not going to blame the bank for whatever they did in ensuring due diligence was observed before considering releasing funds to the man. That he was so ignorant to the extent of digging out the corps of your sister to have the bank to give him the money. What I think he should have done instead was to go to the court and seek for the court’s intervention and that single move would have kinda bring more results to his problem instead of body shaming the sister’s dead body.

[Danica22]

This is a heartbreaking incident that happened in India recently where to withdraw money from his dead sister's bank account, all the documents are required which is impossible for an illiterate brother to provide. For this, he packed his brother's skeleton and appeared in the bank to prove his sister's death. If this brother had kept dollars in Bitcoin, then maybe he would not have faced such harassment in the bank. People are gradually losing interest in banks and if they give such trouble, people will stop keeping money in the bank completely.

What would happen to that money if the sister kept it as bitcoin but did not share the seed phrase with her brother? The consequences would be even worse, and that money would be gone forever. Bitcoin is not the perfect solution in this case either, unless we have a backup plan

I read this news too, but as Rubuchi said. He should have gone to court and asked the court to intervene to resolve the issue, instead of digging up his sister's body.

[kawetsriyanto]

Bitcoin doesn't need a bank to function. Nor does bank need bitcoin to. The fact that banks may offer crypto services is because they want to provide an alternative to keep their customers in check.

It is true. Both bank and Bitcoin have their own system, they don't depend on one another. However, those people who invest in Bitcoin, they must convert their money into fiats. In this matter, we need bank to withdraw the profits from Bitcoin investment. Anyway, the banks which offer the crypto service, they are probably aware of some advantages. Banks know it will also optimize the profits to get from their customers. I assume it is the main reason.

What would happen to that money if the sister kept it as bitcoin but did not share the seed phrase with her brother? The consequences would be even worse, and that money would be gone forever. Bitcoin is not the perfect solution in this case either, unless we have a backup plan

Indeed, if she dies, the Bitcoin will be gone forever if there is no one who knows the private keys or seed phrase.
I agree that Bitcoin is also not a perfect asset. It also can be lost or stolen. Well, I think the best way is diversification. We need to have saving money in banks, some physical assets (Gold, silver, etc) besides we have Bitcoin in wallets.

[fuguebtc]

Bitcoin doesn't need a bank to function. Nor does bank need bitcoin to. The fact that banks may offer crypto services is because they want to provide an alternative to keep their customers in check.

It is true. Both bank and Bitcoin have their own system, they don't depend on one another. However, those people who invest in Bitcoin, they must convert their money into fiats. In this matter, we need bank to withdraw the profits from Bitcoin investment. Anyway, the banks which offer the crypto service, they are probably aware of some advantages. Banks know it will also optimize the profits to get from their customers. I assume it is the main reason.

I agree, I also think that the bank's purpose in offering cryptocurrency service is profit. They are not necessarily just trying to control their customer, as many people think. They do not need to do that because, as you said, eventually those who invest in Bitcoin will have to convert their Bitcoin to fiat anyway
As long as fiat remains the main unit of account, we cannot escape our dependence on bank. The banks are well aware of that.

[Pi-network314159]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

Having a Bitcoin bank is not necessary, we don't need to have a Bitcoin bank to have a better experience. The way Bitcoin is programmed is good and you don't need to open a bank fr Bitcoin. It is totally meaningless. If I may ask what will you now go to the Bitcoin bank to do? Isn't it obvious that Bitcoin transaction never disappoint? It only takes some few seconds to undergo some confirmation, after that your Bitcoin lands in the recipient wallet. Any transactions that doesn't reflect in the recipient wallet is either you mistakenly send to the wrong wallet or the amount you send is below minimum withdrawal. The truth is that Bitcoin is good when used privately anywhere anytime without bank involvement. If Bitcoin has a bank, what then is the need for decentralization?

[Out of mind]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

If this happens, then of course the banks will move but not completely, although this is not certain. When people see that transactions can be made quickly and there is less free time and they do not have to stand still, then they will definitely become more interested in Bitcoin banks to take advantage of it, because people currently want to get benefits, which is not ideal. However, we have to think about the fact that Bitcoin is a decentralized currency, not a centralized one, due to which it is not possible to have a banking system. However, if Bitcoin banks come, then it will provide a lot of benefits to customers but will not be able to provide the same benefits as banks. Basically, we keep money in banks, not only for transactions or anything else, but we can get various types of loans from there, which is not possible in Bitcoin. However, Bitcoin banks will move traditional banks if this happens, because the fast transactions of Bitcoin will make people interested in Bitcoin banks, and in the future Bitcoin and banks can adapt together, which is very unlikely.

[Danica22]

What would happen to that money if the sister kept it as bitcoin but did not share the seed phrase with her brother? The consequences would be even worse, and that money would be gone forever. Bitcoin is not the perfect solution in this case either, unless we have a backup plan

Indeed, if she dies, the Bitcoin will be gone forever if there is no one who knows the private keys or seed phrase.
I agree that Bitcoin is also not a perfect asset. It also can be lost or stolen. Well, I think the best way is diversification. We need to have saving money in banks, some physical assets (Gold, silver, etc) besides we have Bitcoin in wallets.

Besides diversifying our investment portfolio, we also need a backup plan for our asset. Sharing seed phrase or inheriting bank account with close relatives is something that should not be overlooked. Because unexpected situation can arise, and if we are not prepared. Assets can be lost permanently, and loved ones may no longer have access to them.

In short, both Bitcoin and bank have their own advantage and disadvantage. We need flexibility in using them, rather than having to choose one over the other.

[Tungbulu]

This is a heartbreaking incident that happened in India recently where to withdraw money from his dead sister's bank account, all the documents are required which is impossible for an illiterate brother to provide. For this, he packed his brother's skeleton and appeared in the bank to prove his sister's death. If this brother had kept dollars in Bitcoin, then maybe he would not have faced such harassment in the bank. People are gradually losing interest in banks and if they give such trouble, people will stop keeping money in the bank completely.

This same issue, I mean retrieving money from a dead relative's account is one of the major reasons why I strongly dislike the banking system. Their procedures are just too rigid, although even some procedures in bitcoin is also more rigid, because even if the the sister's money were stored in bitcoin and she wasn't able to disclose her private passphrase to the brother, the funds would be as good as gone. But the bank sure does give people a fighting chance, but what is the essence of centralisation if they now make things even more difficult for people when they're meant to serve as custodians. it just doesn't make any sense at all.

[Supreme Donvic]

It will be better we stop comparing Bitcoin and bank these two are different things and they act in different ways if you want to compare you can be comparing bitcoin to other cryptocurrency or bitcoin to other investment not comparing bank as a system to Bitcoin they are two different things that is acting two different ways, bank is very important in a country and the government needs it, the government has nothing to do with Bitcoin, and let me make it clear to you bitcoin will remain the way it is it can never work as bank because when it comes to transaction bank is controlling the currency of that country bitcoin is a separate currency that has nothing to do with that country in particular, who will even think about building Bitcoin Bank in a country.
Please is not everything we will compare to Bitcoin.

[moorestim]

waiting for the day banks accept btc for mortgage and can turn it to cash with no tax

[Adams0001]

It will be better we stop comparing Bitcoin and bank these two are different things and they act in different ways if you want to compare you can be comparing bitcoin to other cryptocurrency or bitcoin to other investment not comparing bank as a system to Bitcoin they are two different things that is acting two different ways, bank is very important in a country and the government needs it, the government has nothing to do with Bitcoin, and let me make it clear to you bitcoin will remain the way it is it can never work as bank because when it comes to transaction bank is controlling the currency of that country bitcoin is a separate currency that has nothing to do with that country in particular, who will even think about building Bitcoin Bank in a country.
Please is not everything we will compare to Bitcoin.

That is the fact, bitcoin is different and bank is different too and both didn't work the same and we shouldn't be comparing them i can says both have is on advantage but for now we're all talking about bitcoin, because that is what you're really intresting dealing with bitcoin. When we're talking about investment we will always chose bitcoin over bank because bank is a place to safe money without getting any profit just to add tax to your funds and you will not get the actual amount you wish to get for some period of time.

But bitcoin is a good benefit because if you invest in it, and you have that patience to hold for long term you can be profitable and have something doing and invest in other places. Bank is just for short term period if you are a business person you can keep your fund in bank since you can used it anytime. But bitcoin need long term period if you didn't invest long you can't get the benefit.

[Jubilee58]

When there is competition everybody becomes serious and at this point we haven't seen any thing that would make Banks sit up in some areas they are not doing well. Let's say every country in the world they have legalized the use of Bitcoin and it have a Bank like our normal Banks we know. There are some issues we face at the Bank that when it comes to Bitcoin Bank it won't be the same like Bitcoin Bank will gain more customers than the normal Banks, transactions will be faster than ever. The issue of standing for the whole day at the Bank won't be the same with Bitcoin Bank, the process of doing things would be faster than that of our normal Banks. With all these, would the presence of Bitcoin Banks make our normal Banks sit up?

As for me, I think bitcoin is a digital currency, and it's digital bank is already existing. Many financial transaction we used to make in the bank, we now do them digitally with the use of bitcoin, and we do them conveniently. Bitcoin transaction fees are very cheap compared to the fees that banks take from us. More also, when you go to the bank to make transaction, we wait on the queue, and sometimes we even argue, and struggle with other customers, but Bitcoin has actually helped us out from this very situation.
When we keep money in the bank, our money does not necessarily yield interest unless on fixed deposit, and always very small. Money in the bank is affected by inflation, and has no real value. But Bitcoin is an asset, Bitcoin yields significant profit if held for long term.

As for me, your wallet is your Bitcoin bank, and is incomparably better than leaving your money in the traditional bank that can only cause you financial chaos.

[Abiky]

What would happen to that money if the sister kept it as bitcoin but did not share the seed phrase with her brother? The consequences would be even worse, and that money would be gone forever. Bitcoin is not the perfect solution in this case either, unless we have a backup plan

I read this news too, but as Rubuchi said. He should have gone to court and asked the court to intervene to resolve the issue, instead of digging up his sister's body.

Doesn't Bitcoin have a multi-signature addressing scheme? You can make a multi-sig wallet that would require "x" out of "y" keys to unlock the funds. Like requiring 2 out of 3 keys to gain access to your hard-earned BTC. If you have a close relative like a sibling, you can keep a key stored somewhere safe while allowing your sibling to use his/her key to unlock the funds. There's also the option of "locking" your Bitcoin until a specific time has passed (otherwise known as time-locked BTC).

So there's really no excuse not to secure your Bitcoin from harms way. In fact, Bitcoin is more secure and reliable than a bank. Banks are subject to censorship and are highly-centralized. With Bitcoin, you are your own bank (which means freedom). I know most people will choose BTC on top of banks (whenever possible). Will you do the same?

[KingsDen]

I have seen the Bitcoin and Bank thread for a donkey time in this forum, but no matter how often I see it, I do not scroll past because I know that there are alot of developments and new things are coming into the industry.
Op tried to create a scenario between the traditional bank we know and the bitcoin bank. I began to wonder what is meant by bitcoin bank. Does bitcoin have it's own bank? Of what essence.

One of the objectives of bitcoin is to save the unbanked. But I do not want a situation where bitcoin will be referred to as bitcoin bank or whatever. Let's leave the bank out of this and face bitcoin.