Why do banks create their own cryptocurrencies?

milewilda

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They arent making their own crypto but rather they do just create e-fiat instead just masking out to be a crypto yet they do only jumped in into this hype. These coins arent really different with fiat though so theres no point for people to deal with these yet these thing arent totally
considered to be decentralized.How to use them? Then its just fiat after all.
 

plvbob0070

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They're trying to create their own digital currency because they already saw the potential of cryptocurrency and they are afraid that decentralized one will dominate in the future that's why they're creating their own so they can still have control over it. And the fact that digital currency is inevitable since we're innovating, so maybe they're trying to adopt to keep pace with changes in technology
 

Haunebu

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Banks have tried to push their own coins in order to centralize the digital economy though many of them never took off since Bitcoin is what the world craved when it came to digital coins.
 

endlasuresh

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They are not creating any coins or tokens and they don't have any intention of opening their own crypto currencies. A bank cannot be trusted to run such type of volatile crypto, if they did then investors will run away from them because of volatile price.
Banks already had interest rates that doesn't meet to crypto prices at all.
 

Ailmand321

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Cryptocurrency is killing the old banking system. And banks had seen that they will be gone soon, so the only way to cope up will be to adapt with it. So, some banks started integrating blockchain tech into their system which I think will make their system better.
 

Debonaire217

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I think banks aren't really creating their own cryptocurrency, it is the business that initializes projects that creates their own cryptocurrency. First, they use it as the investment token for the investors who invested to their project. Specially in ICO's and IEO's. But in terms of banks, they are just making fiats digital to be able to transact using it even if we aren't transacting personally. Which is in fact, doesn't really based on a blochain technology as its backbone for security.
 

Blowon

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Bank will never create a cryptocurrency, they have enough with currently services.. like Credit Card, Debit Card, easily transfers though app phone.
 

Mina Myoui

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Is that possible? Because as I know, decentralization is not required in banks. I think they enhance their services by using digital currency, not the crypto currency itself. But all in all crypto currency is sub part of digital currency.
 

Baby Lion

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Banks are threatened to cryptocurrency and might overcome them in the future so the way to adopt to the latest technology was to create their own digital coin but not save on blockchain technology because of decentralizationbut rather on their system.
 

xvids

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I think since they couldn't control the decentralized crypto like Bitcoin they would try to make their own and be part of the growing crypto industry.
They are scared of crypto and they couldn't stop it so they decide to join it and be part of it.
 

Text

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I never heard a bank that is creating its own cryptocurrency. So I wonder how did you come up to ask it? Banks are centralized while cryptocurrency is decentralized. If they make their own coin, I don't know if there would be enough investors to support it because we know that they could have control over it and manipulation.
 

Smithscherzinger_135

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Its possible that banks will create their own cryptocurrency because this innovation will provide a faster money transfers and will reduce transaction fees. Imagine a real bank without handing a real money (paper) , no coins to return and everything will be done digitally. It will be smooth and fast. Some US Banks are already begin to support cryptocurrency payments.
 

PiroSense

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It's because of the hype revolving around in 'cryptocurrency', minus the decentralization offered by current decentralized coin.

Since most people think that cryptocurrencies are so good of an investment (when it's clearly not), banks want to abuse this mindset and might offer and advertise them aggressively to innocent investors that are unaware that they could lose a lot.

Other than that, since banks are originally centralized, they want to adopt the technology, but is centralized, opposed to decentralized blockchain. Take note that countries are slowly migrating to digital modes of payment, making paper cash obsolete, and cryptocurrency is one potential digital currency that has lots of room for improvement and scalability.
 

Simeon4real

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It's obvious that if you can't beat something, you've to become a part of it. Banks can't beat decentralization and blockchain as more abd more people are pivoting to blockchain powered cryptocurrencies. Since this is a threat to the status quo banking system, Banks wants to get a piece of the cake and utilize blockchain distributed ledger but I'm certain it'll be a private chain controlled by the bank.