Evangelists and Supporters of the Crypto Society do argue that Blockchain will replace banks altogether. Blockchain technology is still in the infancy stage and its impact on Banking System remains to be seen. But it is certain that If Blockchain cannot replace the Banking industry, it will transform the Banking industry.

The simple answer to if decentralized finance could replace banking and traditional finance is a resounding yes! Blockchain technology provides a way for untrusted parties to come to agreement on the state of a database, without using a middleman.

Yes there is a lot of possibilities that blockchain based cryptos can replace banks and other intermediates.Saving a huge amount of time and other paper work for the customers.

As of example crypto currency “ripple” is used by major banks across the world.

The prices of ripple has shared hoti 30000% from last year .Making it’s founders in top ten richest man in world.

Blockchain is today’s most discussed technology and will remain so for more time. Crypto Society most often criticizes banks for being over-centralized and many times being overpriced and monopolistic. In contrast, Blockchain can be a viable option as it is decentralized and a cost-effective solution.

Existing Banking and Payment Systems are centralized and so are extra complex. The extra complexity creates an extra risk which can be reduced by technology like Blockchain as the Blockchain application in banking can help in reducing complexity by reducing intermediation. Once underlying risks are reduced, the blockchain can help in introducing multiple products against limited options available with the Banks today and thus increasing competitiveness at a lesser cost. This can also help in introducing more transparency in the financial system.

Blockchain can reduce operational costs for clearance and settlement systems and making transactions more secure at nearly real-time. By easing out fundraising, Blockchain can help in managing Asset and Liability Mismatch. By removing intermediaries, faster and more secure payment systems can be designed at a minimal fee for consumers. Loans and advances can be made cheaper and secure by removing intermediaries. Blockchain can also enhance the efficiency and effectiveness of the Securities and Capital Market. Blockchain’s distributed ledger will make accounting and auditing simpler by reducing complexity.

With this magnitude, Blockchain should be able to create an entire financial system in some time. I strongly believe that Blockchain can minimize the inefficiency of the banking system and should act as a supplement and complement to the Banking System. Costs for consumers will decrease and there will be a reduction in fraud.

Blockchains can become the future. A decentralized network that is far from any government influence is definitely the next big thing. This one reason is strong enough. Why? Because if an individual expends you in your business account through UPI or debit cards then the administration will take taxes from you and will maintain your annual income on the check. Now I am not suggesting ripping off taxes but they are a lot of people around who are inclined to do this. Although cryptocurrency is still an unusual thing to people, I think one day when this will become widespread, people will purchase or deliver tokens for local service payment.

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