5 ms·
> Most people take it for granted that they need a bank to do anything, and they don't really consider how powerless they are over their own money People use
by lottin 6y ago
> Most people take it for granted that they need a bank to do anything, and they don't really consider how powerless they are over their own money
People use banks because they provide financial services. You don't have to use banks, if for some reason you want to avoid them, but then you're left without access to those services. As far as I know, Bitcoin doesn't provide financial services, so it's not a replacement for banking.
- literallycancer 6y agoMost banks provide most services at loss and make most of their money on mortgages. So they will provide payment services in the hope that 20 years later you get a mortgage from the bank you are familiar with. Notice also that the whole business model relies on the bank having privileged access to central bank money and sharing that access with the plebs for some percentage interest. However current technology makes it feasible for central banks to simply interact with consumers directly. The only remaining problem is how to decide who is likely to pay back the loan. Retail banks could be relegated to credit check providers.