Is Cryptocurrency slowly replacing banks as a method of saving?

[Etini]

Banks have traditionally been the means people use to hold their money over generations. Recently though, it seems the evolution of cryptocurrencies has threatened the position of banks as the number one means of saving money. With the frequency at which people are adopting cryptocurrency payment for goods and services, they also hold their funds as cryptocurrencies over a long time. They just find a good crypto-holding app like Binance and open a wallet and stash their funds in there.

Be it as it may, I still believe that traditional banking remains the surest means to hold your funds. This is because a cryptocurrency holder is not 100% reliable. In recent times, we have seen reliable crypto holder crash without warming. People who had wallets with the crashed crypto holders are struggling to withdraw their funds. There is insurance for funds deposited in banks which makes it safer than crypto wallets.

 

[Suba]

We cannot equate saving money in a bank with saving crypto, because the two have different goals. No matter how much money you save in the bank, you will never get capital gains/losses. But if you keep crypto in any wallet you will get capital gain/loss. Although both of them will also get interest or crypto staking results. The purpose of people saving money in the bank is only to finance their needs, such as buying a car or wedding expenses. while you keep crypto for investment purposes. Due to the high volatility of crypto, currently the percentage of using crypto as a means of payment is very small. So you don't have to worry that crypto can never replace banks anyway. Even though there is no specific crypto insurance, several well-known crypto exchanges such as Coinbase, Binance, etc. have insured their funds in USD.

 

[Fufi]

bank saving money, fiat money and crypto have absolutely different goals, that's why one cannot replace another one

 

[Ithedicious]

The bank has it own function while cryptocurrency has its own function but most importantly we need to understand that it is not everyone that will be interested to invest in cryptocurrency , the reason is because cryptocurrency is so volatile and a lot of people have lost so much most especially now in which the price of all cryptocurrency has depreciated.

I wouldn't want to be in a position of investing my money in something that will tight down my money for a long period of time because as long as your cryptocurrency has depreciated in value there is no how you can withdraw such for anything useful because it would be a serious lost . .

If I have money to invest in cryptocurrency , I will mostly go for the stablecoin presently until I am ready to spend some spare cash to invest in volatile cryptocurrency for long-term

 

[btaliat]

In my own opinion, bank cannot be replaced with cryptocurrency. There are some people that prefer saving using cryptocurrency. But most of them do that in order to have some interest on thier money saved.

Banking on the other hand can be used whenever we want to have some saving or save that money for some projecta. The reason is that money saved in bank is always stagnant. This means it can be used to target some projects.

Crypto may not serve this purpose escort of saved in stable coins.