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I can conceive of a situation where bitcoin "banks" use people's deposited bitcoins for investment while paying out interest, similar to traditional banks. Then

I can conceive of a situation where bitcoin "banks" use people's deposited bitcoins for investment while paying out interest, similar to traditional banks. Then it'd pretty much be the same for markets. Not sure how likely that is, but as it gets more integrated into the system I can't think of a reason why it wouldn't end up being invested.

tuxxy 9y ago
This is a unique idea that I haven't heard before. Any idea what these 'banks' might use the Bitcoin for? With the upcoming Lightning Network additions, this might make an interesting use case where "decentralized banks" are able to help aid the network with payment channels and its members gain interest. By the way, Bitcoin mixers are sorta like this in a way. If you have enough Bitcoin, some mixers look for investments and promise to return interest from it. This is another potential use case for "decentralized banks".