Can Crypto Exchanges Replace Traditional Banking?

[Elizebeth]

Yes, crypto exchange platforms are a worthy alternative to conventional banking systems due to their astonishing benefits and features that normal banks can’t provide.

• We all know that banks are limited to geographical boundaries. However crypto exchange platforms can provide financial services to everyone without any border limitations.

• The banking system demands perfect documentation and a strong credit history from users to enjoy its benefits. Everyone cannot achieve these two criteria. So this acts as a barrier for entering the banking system. But in the case of exchange platforms, they act as an entry point to financial systems for the unbanked and underbanked, who may not have access to conventional banking due to lack of documentation or poor credit history.

• Transaction fees on cryptocurrency exchanges are low when compared to conventional banking, especially for international transfers. Also, the peer-to-peer nature of crypto transactions cuts out the middlemen fees.

• For international transfers, banks can take several days to complete the transaction. While international transactions in exchange platforms can be processed quickly.

• Usually, banks work based on fixed hours and also close on particular weekendsCrypto exchanges. So customer service cannot be fulfilled by banks during those periods. This issue can be overcome by crypto exchange platforms where there is no time limit or fixed hours

• In crypto exchange platforms banks have full control over their assets which is not applicable in a normal banking system since the bank has control over users’ assets and can also impose actions like account restriction or freezing of accounts.

Without a doubt, we can stand on the side of crypto exchange platforms when compared to banking systems, since they offer numerous benefits and has the ability to transform the financial sector into a greater level.