Cryptocurrency VS Traditional Fiat
Cryptocurrency VS Traditional Fiat may not be the topic expected when you visit Las Vegas. Las Vegas Nevada is widely known as Sin City, deemed this way for its variety of delightfully dirty dance clubs, gluttonous indulgences, and greedy gambling. Given the naughty nature of The Fabulous Las Vegas, it came as a shock when two young men with a grand concept for a business designed to help families sustain a good life were ushered out in a hurry from multiple banks.
Michael Martin and Christopher Butler have designed a platform called URAllowance that will enable families to learn the balance of responsibilities through a system of their proprietary “Family Smart Contracts”. To their shock and disappointment, upon applying for the most basic business banking account the young entrepreneurs were told they could not be helped at multiple financial institutions -despite the fact that they are licensed and presented a solid business plan. Their goal was to open a simple, business checking account in the name of their company and the process was similar at each bank. They would get to the end of a questionnaire then there was a question regarding cryptocurrency involvement. For each bank they visited, when they answered YES to the question asking if the would accept payment in bitcoin or if they had anything to do with cryptocurrency, the workers all became nervous, making phone calls and apparently, they reached a snag.
I reached out to Wells Fargo to ask why they had been turned down, and I was met with a stammering and nervous bank tellers voice. He said “We just don’t want this type of business, we really can’t help a company that touches bitcoin in any way. If it was a personal user account, that would be ok. Not for business though”. This is disappointing, and it speaks volumes that big banking is refusing to be nice to the new players in the field.
Cryptocurrency VS Traditional Fiat | You Can’t Beat Us, So Join Us!
The world as we know it has changed in the face of new technologies. The concepts of how we keep records have changed in a most dramatic way thanks to Satoshi Nakamoto and his contribution to our rapid evolution. Satoshi Nakamoto presented a problem in 2009, which was the cumbersome process one had to endure in order to send money to another person or place. He saw that central banking was in control of the people’s money. He saw that there was a way to transfer value from one person to another without involving the middle controlling entity- the bank. Through this realization, he created a marvelous new way to transact peer-to-peer in a decentralized, secure and transparent public ledger. This marvel is that buzzword you hear daily, called blockchain.
Banks should be lining up around the block COMPETING to earn the business from such young men as the two from Las Vegas who faced unwelcoming scowls instead.
As resistant as fiat-based financial institutions are to this evolution in the way we transact with others, it will become mainstream anyway. The fascination and fixation with crypto are in the infancy stages and soon enough people will realize that a bank that refuses to adapt and adopt blockchain technology and cryptocurrency is missing out on huge profits. The outdated traditional methods of the past are harmful to the bottom line- and that will be all too clear at the reconciliation time when banks are scrambling but crypto users just point to the blockchain and say – “That’s the history, it does not need to be reconciled.”