Please write down your thoughts after reading the paragraphs ie. agree or disagr
ID: 1139028 • Letter: P
Question
Please write down your thoughts after reading the paragraphs ie. agree or disagree and why? (Min 5 sentences 150 words + )
In a time where national distrust in banks is at an all-time high, where do people place their money? An unknown person going by the pseudonym Satoshi Nakamoto seemed to provide an answer to this: cryptocurrency. In his TED Talk, Paul Kemp-Robertson highlights the rise of cryptocurrency, a virtual currency, and how is may come to defeat traditional ways of banking. Cryptocurrency, to contrast banks, is private and anonymous, and, according to Kemp-Robertson, the most stable form of currency in the world. Cryptocurrency is gaining so much traction in the modern world that many companies are beginning to accept it as a form of payment.
Kemp-Robertson seems to have a somewhat pessimistic view towards cryptocurrency and its rise in popularity. Much of his TED Talk is spent talking about the what-ifs of a future in which cryptocurrency, but is that really so bad. Like he says, if there is no trust in a certain institution (banks), no one will put their money into it. If in the future there is yet another controversy regarding banks or another economic crash, why should people still continue to put their money in banks if cryptocurrency is more trustworthy. I think banks will have to "step their game up" so to speak, as more and more people become educated on cryptocurrency, such as more rewards for loyal members. Since this video has gone up in 2013, cryptocurrency has skyrocketed in popularity, mostly last year where it was all over the news. It is no longer the biggest fad, and is instead, more commonly accepted.
Explanation / Answer
It is true that cryptocurrecny is gaining traction these days and more and more companies are acceting this virtual form of money,however, this currency cannot substitute banks which havve since time immemorial been the financial intermediaries connecting savers of money with borrowers of money. Keeing money in banks is safest option till days because of the rising cyber crime cases these days. It has been observed that there are rising cases of cyber crime by compiter hackers which is making money unsafe in digital form. Still these exists weaknesses in the digital mode of currency and any form of curreny cannot substitute banking system in the country.
Thus, banks need to have regulations that keep money of people safe because no form of currency can substitute banking system in the country.