Bitcoins/Litecoins/Virtual Currencies

Maybe. It’s not that it’s revolutionary but SoFi came at people as a bank first. So if they make getting bitcoin seem simple it will open the door to more folks and if other banks follow it will be massive.

I’m thinking of it like those programs of “round to nearest dollar into your savings” or whatever. Crypto has always been confusing and out of reach to most. Remember this board is consistently 6-12 months ahead of populous, especially on technology issues.

Khane said:

I can see this being a positive for people that actually want to actively trade bitcoin or just DCA into actual bitcoin, however, are the other, established crypto trading platforms/exchanges still dubious and insecure? In other words, is there any real, actual benefit for someone who understands BTC doing this over holding their own wallet and trading on one of those other platforms?

BTC in your bank! sound great but it probably translates to "We'll hold your keys for you!" with no mention of if thats via hot wallet or frequent updates to a cold wallet or... "We'll be the custodian of your BTC!".

Am I missing something?

Click to expand...

No, you've basically got it. Its a perception thing plus the FDIC insurance. I'd actually guess a traditional bank is far more likely to re-hypothicate and misrepresent how much they actually hold than an exchange is. Banks have never been burned on it before so I'd guess they'll learn the hard way. The only reason this is interesting is its a shifting of the overton window. Who thought banks would be holding Bitcoin 10 years ago?

Outside of that its an ease of access thing. Essentially everyone in America has a bank, not everyone has an exchange or trading account.

EDIT: I guess there is also the fact that you could argue that Banks have an enormous effect on governance and them being able to make money on Bitcoin improves the likelihood of number go up via policy decisions... also increased likelihood of co-option but thats the gambit Bitcoin has to run, can it survive the banker bros.