Why Bankers Hate Cryptocurrency?

in #cryptocurrency7 years ago

Bankers Don't like Cryptocurrency
"Bitcoin is Fraud"- Infamously discredit Bitcoin projects by JP Morgan CEO
Traditional Finance Experts do not like Blockchain projects
Open-Source Cryptocurrencies like Bitcoin, Litecoin or other coins
Some economists and nobel award-winning researchers have claimed
Bitcoin and Other Cryptocurrencies Has no intrinsic value

The intrinsic value is the actual value of a company or an asset based on an underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors. - Investopedia

Actually, no asset in the world has intrinsic value
Gold, the largest store of value, has no intrinsic value
There are potentially millions of times more gold underground than actually has been extracted.
If all are extracted, it can impact the international gold market
The intrinsic value argument is useless.

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Most funny thing is the bankers know gold has no value.
But the main argument is: it’s established because of 2000 years of use.

Banks and other financial institutions fear crypto currency mainly because it can't be controlled by anyone. It only takes two people to create value in something by simply agreeing to trade for it. Value in anything, including fiat currency of any kind is only given value if people perceive it to be of value and can be used to trade services or goods. Crypto currency is a threat to financial institutions because it challenges their monopoly in the marketplace for what is used for exchange in goods and services. They track it through "deposits" and "withdrawals", pay low interest on savings, and use your money to lend to others. They control it and know how manipulate access to it by 'choosing' who can borrow it and when and how much they can charge in fees for "international exchanges". What banks are starting to realize with the adoption of crypto -currency is that those 'fees' go away. It will challenge their fee structures and their profit margins. A classic example of this model is the wire transfer from Euro to US dollar. You go to a bank in Europe, if you've done your research, you manage to find a bank that offers "wire transfer" for 15 Euro. Then they provide you with an exchange rate that is lower than the market rate, earning them more money in the transfer. Then on the receiving end, the receiving bank provides a lower exchange rate. In this example, depending on the amount moved, it could easily cost $30 just to transfer money from Europe to the US. What we are seeing the beginning of the FUD propaganda from banking industry with regards to calling Crypto high risk and will fail. We are also starting to see more "regulation" attempts from governments, which is no doubt fueled by special interest groups (banking industry) to petition the governments to assert some control over its growth and limit the threat is poses to the banking industry. This is just my opinion, but believe strongly that this is what is occurring in our society today with regards to crypto.

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