> Bitcoin as a "bank" would be far too volatile for basically everyone. If you use bitcoin as collateralized lending and borrowing, it becomes a banking tool.

> Bitcoin as a "bank" would be far too volatile for basically everyone. If you use bitcoin as collateralized lending and borrowing, it becomes a banking tool. Price becomes far less of an issue as long as you maintain your collateralization ratios. Volatility of the price is at least partially offset by the utility of earning interest on it. This also has the effect of making bitcoin more scarce as it becomes more and more locked up as debt. 21m max, it becomes deflationary if enough people become their own bank. > The Fed should just offer consumer accounts, free of charge. No. We have enough government control of finances as it is. Ever have the state board of equalization empty your bank account without any warning because they thought you owed them money? I have. It has been two years and I still haven’t gotten my money back.