Large US banks, including Bank of America Corp, are very afraid of Bitcoin (Bitcoin). The growing popularity of crypto-currencies poses a threat to financial institutions.
The spread of digital money is undesirable for banks, given their current problems, which they have faced recently. Speech, first of all, is about low demand for loans, lower profits due to lower interest rates and fading hopes for deregulation.
The negative attitude of banks to the crypto currency is gradually beginning to manifest itself in the open. Suffice it to recall the harsh criticism of Bitcoin by JPMorgan Chase CEO Jamie Dimon.
What is the threat from Bitcoin?
The idea that Bitcoin could threaten traditional banking institutions, sounded in an interview with the American television channel CNBC executive director of the investment organization Taurus Wealth Advisors Rainer Michael Preuss.
He believes that crypto-currencies such as Bitcoin have a certain appeal, given the lack of transparency in the banking system. As an example, he cited the Federal Reserve's refusal to host an independent audit.
In contrast, blockchain technology registers each transaction and gives users a complete overview of all the movements of funds on the network. Moreover, he is sure that digital coins are able to offer a so-called "system hedge" against inflation of asset prices and to deprive banks of some functions.