Will banks survive the AI and crypto revolution?

We know there is one thing in which banks are not doing so well, and where crypto is performing excellent - trust - provided that we use trusted cryptocurrencies like Bitcoin. In crypto, users funds can be controlled by themselves, unless they use third party wallets or exchanges, where the risk is higher.

Then we have the store of value - fiat currencies are prone to inflation, although USD and EUR are much more stable than many other currencies. Holding crypto comes also with risks, especially when dealing with high-risk altcoins. But keeping invested in Bitcoin or even Ethereum and many other alts, has proven to be a sound strategy. So if you have extra savings on your bank account, why keep it there for the banks to make profit on, when you can put it to use for your own gain?

Future uncertainty

In our fragmented and increasingly unstable world order, we can never be sure our finances will the there in a couple of years. Even having a 401k plan is susceptible to financial meltdowns. Real estate is subjected to the effects of climate change, as many have lost their properties to floods, fires and other natural events. For crypto, as long as there is a network of computers that keeps on mining Bitcoin, it will be permanent. If we don’t go into extreme doomsday scenarios, that is the most safest asset you can own, if you keep some of it in your own wallet.

Banks need to adapt to many scenarios to keep as relevant as they are today. They seem too big to fail, as much of the financial system is dependent on the majority of people keeping their cash in the banks - so that banks can loan it, invest it, and keep the economy running. It is necessary for the economy in a sense, but people are getting smarter with their money - some people use crypto instead of banking. And the ever growing tech and AI will force banks to adapt, or die. The question is, will banks evolve together with crypto and AI.