Banks Are Already Dead, They Just Forgot to Tell the Public!
The traditional banking system is undergoing a process of radical transformation, driven by technological innovations and the advancement of cryptocurrencies and decentralized finance (DeFi). These changes challenge the traditional model of financial intermediation and may signal the "end" of banks, at least as we know them today.
1. The Rise of DeFi (Decentralized Finance)
DeFi uses blockchain technology and smart contracts to enable direct financial transactions between users (P2P), eliminating the need for intermediaries such as banks. As a result, services such as loans, mortgages and international transfers become more accessible, cheaper and faster. The Ethereum network, for example, is one of the main factors responsible for driving the development of decentralized applications (dApps) that support this ecosystem.
2. Digital Banks and the Dematerialization of Branches
Another factor contributing to the "death" of traditional banks is the growth of digital banking operations. In Brazil, the closure of physical branches accelerated, while platforms such as Nubank, Banco Inter and C6 Bank expanded their customer base. In addition, digital channels, such as mobile banking and internet banking, already account for around 77% of financial transactions in the country. This shows that consumers are increasingly willing to adopt technological solutions to manage their finances.
3. The Impact of Transactions via Apps
Financial transactions via messaging apps, such as WhatsApp, grew 531% in one year, signaling a change in user behavior. This trend reinforces the idea that consumers prefer practical and accessible solutions that can be carried out directly from their smartphones, without the need for a physical branch.