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The idea that banking activities can be automated and that therefore people will be able to ditch banks and do their own banking without resorting to profession
by lottin 5y ago
The idea that banking activities can be automated and that therefore people will be able to ditch banks and do their own banking without resorting to professional banking services is unreasonable, for the simple reason that if this could be done, banks would have already done it, since they have every incentive to reduce costs. They would have laid off all the staff and replace it with a smart contract. They haven't done it because it can't be done, because banking has processes which are labour-dependent and can't just be automated away easily or at all.
- landemva 5y agoHave you considered if much of this is due to debt-based currency? If people hold valuable fungible tokens, it becomes possible to make collateralized loan products and even synthetic stable tokens such as DAI.
- lottin 5y agoI don't know what you mean by debt-based currency, but no I don't think that using tokens instead of currency changes anything. The process of granting and managing a loan is exactly the same regardless of whether the loan is denominated in currency or in some token.