Traditional banks in the crypto economy of future

[Paglamon]

Traditional banks play many roles in the economy for transactions. Kerala always has a lot of transactions. So I think cryptocurrency has a role to play in facilitating transactions in traditional banks. So it is important to get the approval of cryptocurrency.

[MrSpasybo]

If I think traditional banks will still be used in this Crypto era, they will only serve FIAT money transactions. Because I think that even though this Cryptocurrency is fully operational, FIAT currency will still be around. And what is certain is that not everyone will use Cryptocurrency to transact or make payments.

+1
I agree with you, because not everyone is eligible to own a mobile payment device and have access to the internet to use crypto easily. So fiat still needs to be maintained by traditional banks.
However, if we make great strides in telecom technology, if we can cover the global internet for free and produce a device with easy internet connection and using solar battery, we will be able to slowly remove fiat from life.
If that happens, do you think we still need traditional banks?

[Callisto]

I think that traditional banks will always serve fiat money, because payment systems have been created over the years, people have just got used to these systems, so traditional payment systems are trusted by most of the population.

[Istiak]

Stablecoins are an integral part of the future of the financial system. And Facebook’s Diem, formerly Libra, is part of that future.

Facebook, it is reported, could launch its long-awaited digital currency as early as January 2021 in the form of a U.S. dollar-backed stablecoin. Central banks and regulators have been galvanized into action since Facebook first announced its intentions by publishing a white paper in 2019. They are right to be concerned, as stablecoins — particularly ones such as the rebranded Diem that have the potential for massive network effects — bring new risks to consumers and savers as well as to the global financial system.

Article: Facebook’s Diem stablecoin is an existential threat to traditional banking

In this article, the author believes that Libra's Diem will become a major force in stable coin and directly threaten traditional banks thanks to the huge user base from Facebook. However, I think this is in the distant future when governments still do not fully accept stable coins like Diem. And before this can happen, it is entirely possible for governments to develop other stablecoin strategies - their CBDC, to retain control of the economy.

What roles do you think banks can survive and operate in the global economy in the era of stablecoins & CBDCs? Here are a few of my predictions:
+ storing fiat assets to support stablecoins/CBDCs, for example bank ABCDEF holds $1000 to support 1000 USDC existing in market;
+ acts as a node in the blockchain that maintains the CBDC;
+ is the bridge connecting fiat & crypto;
+ continue to serve customers who do not trust or have access to crypto;
+ acts as the verifier and evaluator of collateral on loans;
+ acts as a loan & loan platform guaranteed by the government = cryptobank...

Do you think traditional banks will be completely wiped out in the crypto era?

I think the traditional banking system is the main problem in our society right now. They just got huge power by holding people's assets which is not right. Also, it just makes the poor poorer and the rich richer. Govt must have influence over its people but people also should have the right to control their assets which they can not with the traditional banking system.

[Pitter]

Stablecoins are an integral part of the future of the financial system. And Facebook’s Diem, formerly Libra, is part of that future.

Facebook, it is reported, could launch its long-awaited digital currency as early as January 2021 in the form of a U.S. dollar-backed stablecoin. Central banks and regulators have been galvanized into action since Facebook first announced its intentions by publishing a white paper in 2019. They are right to be concerned, as stablecoins — particularly ones such as the rebranded Diem that have the potential for massive network effects — bring new risks to consumers and savers as well as to the global financial system.

Article: Facebook’s Diem stablecoin is an existential threat to traditional banking

In this article, the author believes that Libra's Diem will become a major force in stable coin and directly threaten traditional banks thanks to the huge user base from Facebook. However, I think this is in the distant future when governments still do not fully accept stable coins like Diem. And before this can happen, it is entirely possible for governments to develop other stablecoin strategies - their CBDC, to retain control of the economy.

What roles do you think banks can survive and operate in the global economy in the era of stablecoins & CBDCs? Here are a few of my predictions:
+ storing fiat assets to support stablecoins/CBDCs, for example bank ABCDEF holds $1000 to support 1000 USDC existing in market;
+ acts as a node in the blockchain that maintains the CBDC;
+ is the bridge connecting fiat & crypto;
+ continue to serve customers who do not trust or have access to crypto;
+ acts as the verifier and evaluator of collateral on loans;
+ acts as a loan & loan platform guaranteed by the government = cryptobank...

Do you think traditional banks will be completely wiped out in the crypto era?

I read out your research it is very logical and prominent . If any policy can wiped out the traditional banking system in future the crypto economy only do it but it takes time to do it not wiped out possible in definite time .

[tor]

Cryptocurrencies are the future, the banking sector is well aware of this and they have to strive for these new trainers and therefore will also introduce new technologies in their work, otherwise they will all close

[svetlana]

I think that traditional banks will always serve fiat money, because payment systems have been created over the years, people have just got used to these systems, so traditional payment systems are trusted by most of the population.

The conditions in the banks, to which the people are accustomed, do not interest anyone. And no one will ask the people to change payment systems or not. The government will do what it sees fit.

[vegasus]

The technology and system will be always developing. Nowadays, bank systems have been ready for blockchain adoption. In this case, we can see how technology will always influence the development of the banking system in the future. They will follow up without leaving the past.

[Cryptoz]

The traditional banking system is already dying.

How can you state that? I don't think it is dying but maybe crypto or blockchain concepts are more futuristic. The world economy needs a better system for future life. While crypto and blockchain offer the more futuristic system for the financial system. We cannot deny that many banks already use the technology of blockchain. It indicates that banks also need blockchain or even crypto in future life.

[damsix]

Traditional banks will never be destroyed because these traditional banks have large reserves of funds and have the legality of a country.
Traditional banks can be a strong reference for all countries and can become intermediaries for investors to disburse their funds as a result of cryptocurrency profits.

I think this is because traditional banks have a strong, safe and necessary share for a country.

[Cutter Cute]

Traditional banks will not be completely wiped out in the crypto era.

Internet networks, support systems such as cellphones and education about transaction systems using crypto are not yet understood by many people, someone is still used to fiat money and they prefer to see wealth in physical form.

If Diem becomes one of the stable coins, I think the Facebook developers have other ideas in the future, it looks like there will be other stable coins that Facebook will create but we are still waiting, whether the concept will be the same as the Libra coin or only Diem stable coins will be the same coins. they created to expand the use of USD currency

[kent47400]

It is true because the past must always be a reference so that we can be even better in the future.
Banks may not currently accept payments for cryptocurrencies but in the future they may pave the way for cryptocurrencies to be accepted.
In its implementation, it may have to be strengthened again by providing extra services for cryptocurrency because the price is always changing and stable.

[Galley]

The traditional banking system is already dying.

How can you state that? I don't think it is dying but maybe crypto or blockchain concepts are more futuristic. The world economy needs a better system for future life. While crypto and blockchain offer the more futuristic system for the financial system. We cannot deny that many banks already use the technology of blockchain. It indicates that banks also need blockchain or even crypto in future life.

The traditional banking system will not die out for quite some time. However, those banks that quickly master new technologies in their work will have more advantages over competitors. Nobody will cancel progress.

[tor]

I think that in the future we will see big changes in the banking sector, the entire banking system will be forced to implement blockchain and transform itself to rebuild to new realities and cryptocurrencies will push banks to these actions

[Hasnain khan]

On the off chance that banks receive crypto later on it will be a lot simpler to improve the economy banks will effectively present cryptographic forms of money and speculators will have the option to execute everything utilizing digital currencies as they wish which will quicken the advancement of the world. The vast majority will lean towards crypto for venture.