One of our acquaintances is a gold bug. That means they store their wealth not in fiat, but in gold bullion. They recounted the following story to me over drinks, that I must share with you right now. It is a story of how banks are going to be completely disrupted by Bitcoin.
My acquaintance wanted to sell a single Krugerrand. She found a mobile gold buyer, who agreed to the trade. When the trader arrived, the deal got under way. He does this every day as a regular part of his business.
Chip and Pin Two Factor Authentication devices.
The trader had three devices; an iPad for internet access, an iPhone to do the fiat payment from the company bank account to my acquaintance’s bank account, and a bank issued Two Factor Authentication device with a slot in the top for his “Chip and Pin” bank card.
The trader had the iPad on his lap, the iPhone in his left hand, and the 2FA device in his right hand. Once the iPad found a wireless signal, the buyer set up a local wi-fi network on the iPad and connected the iPhone to it. Then he opened his Bank account app, and logged in. He opened up a gold price checking iPhone app (I didn't glimpse which one) and got the spot price.
He then typed out the account name, account number, sort code and bank of the gold seller into the iPhone app. Then he put the iPhone down, switched the 2FA device to his left hand, pulled his wallet out of his right back pocket with his right hand, and took out his bank card, which he slotted into his 2FA device. He typed his PIN Code into the 2FA device, and retrieved a token to log into the iPhone App with. He was authenticated…
….then he made the transfer.
Now compare this Heath Robinson juggling process, with the payment process had the exchange been made for Bitcoin instead of a transfer of fiat from bank account to bank account. After checking the gold price:
- The gold buyer Opens Samurai Wallet on his phone.
- The seller shows his QR code on his phone.
- The gold buyer scans the QR code.
- Types in an amount of BTC.
- Presses send.
Not only does this transfer require a maximum of only two devices (you can pay to a QR Code on a piece of paper as seen below) and not three
devices plus a “Chip and Pin” card, there is no third party involved in the payment of Bitcoin, and its still totally secure by default.
Which one do you think is more efficient? Using Bitcoin, or doing a fiat bank transfer? Bitcoin is quicker, more efficient, more private. It is better than bank accounts by orders of magnitude, and of course, that Bitcoin could be transferred to another address anywhere on Earth, in seconds, once again, without logging in or any other Robinsonesqe nonsense.
Experiences like this make it crystal clear that Bitcoin is the future. Banks have no way of competing with it in any way, from the form of the money to their insanely complex Security Theatrics, to Bitcoin’s global access and extraordinary utility.
100% GAME OVER.
You can’t tip dollars to this QR Code from your bank account…LOL! ↯