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But banks provide credit which Bitcoin does not. Most of the problems with banks (bank failures etc) comes from the credit side, not the payments side.
by u320 11y ago
But banks provide credit which Bitcoin does not. Most of the problems with banks (bank failures etc) comes from the credit side, not the payments side.
- DickingAround 11y agoAt a glance, it might seem that simple. In more depth, people who try to hold money essentially don't have a place they can easily park and access it other than a bank. People get forced into a fractional reserve system. That fractional reserve system in turn needs a lot of extra work and systems behind it to function. Bitcoin is a way for people to keep and move money without being subject to either money printing or fractional reserve. So it is, in part, a replacement for that system.