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Apples and oranges. Your bank doesn't issue currency. Your bank could accept bitcoin and run nearly the same as it runs today.

• bbcbasic 10y ago
  Except that you wouldn't get much legal protection if someone runs off with your bitcoin. A bitcoin transaction is irreversible and unfreezable, so there is not a lot the bank or legal system can do to try and retrieve stolen funds. And there is less of a trace to who the thief is. As a result you probably aren't going to get the government failure guarantees on bitcoin as you would for fiat. Let alone governments wont want you using a different currency that they can't print.
  • reddytowns 10y ago
    No one can "freeze" cash, either, which is what currency is. A number in a bank account can represent us dollars, bitcoin or whatever else. You're talking about two different things here. I agree with your point about government failure guarantees, however.
    • bbcbasic 10y ago
      I was talking about money in a bank account (i.e. an electronic record of a bank's liability to it's customer), rather than cash.
  • digler999 10y ago
    FWIW banks couldn't operate without at least one mode of "irreversible and unfreezable" currency transactions, aka fed wire transfers.