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> In the UK, we now have "Open Banking". Which means my bank offers an API which I can plug into. It also means that loads of 3rd parties can now offer banking
by kevinak 5y ago
> In the UK, we now have "Open Banking". Which means my bank offers an API which I can plug into. It also means that loads of 3rd parties can now offer banking services on top of the "centralised" core.
> So, in a way, a decentralised system is being built on top of a centralised system.
Why would offering an API mean that the service is decentralised? It doesn't - it just lets you get some data in or out. You are still beholden to a single party that can cut you off at a moments notice.
> I'll also note that - in my opinion - Blockchains aren't really decentralised. There's no way you can do an "Off-Chain" transaction. Everything has to be recorded on a single ledger.
Not true at all. Bitcoin has a Layer 2 solution where transactions are done off-chain in a non-custodial manner. Those don't need to be recorded on the ledger, only the settlement is (if you decide you do not wish to participate any longer).
- tremon 5y agoYou are still beholden to a single party that can cut you off at a moments notice. Not in the UK, nor in Europe. Don't project your (presumably US) failed institutions onto the rest of us.
- hungryforcodes 5y agoPlease explain.
- dns_snek 5y agoThis is definitely true in EU (and presumably in UK as well). If your bank doesn't like the businesses you're interacting with, e.g. gambling sites or cryptocurrency exchanges, they can close your account without notice or recourse. And even if your account doesn't get closed immediately you are still subjected to invasive KYC procedures, even if you haven't done anything wrong. Failure to comply of course leads to your account being closed.
- f38zf5vdt 5y agoCompletely true. See "World-Check". [1] There are a number of these products and all the major banks use them to vet customers. [1] https://www.vice.com/en/article/pak7wb/exclusive-secret-blacklist-marking-innocents-as-terrorists-continues-to-grow https://www.vice.com/en/article/pak7wb/exclusive-secret-blac...
- kevinak 5y agoOf course it's true. You just haven't run into it. PS. I am in the EU. What kind of argument is that, anyway?
- emteycz 5y agoDefinitely in the EU (my own experience), and most probably in UK...
- jungturk 5y agoAny particulate service agreement isn't decentralized necessarily (I am still using one central bank), but the market is (I can change providers if I choose). A _standardized_ API would allow providers and consumers a choice, which distributes the power to some degree and can encourage the parties to make choices that support the entire ecosystem rather than just their own ends.