Your favorite crypto news blog

Google Branches Into Banking, Is It a Threat to Bitcoin?

Bitcoin 2019/11/18 09:30 by Martin Young
google searches for bitcoin spike post trump tweet

The big threat for Bitcoin at the moment is Google’s quantum computing prowess. A move by the search giant into banking however, could be a whole different matter for the entire crypto industry.

Trust in a Google Bank Account?

According to reports, Google has entered into a partnership with US banking giant Citigroup in order to launch its own ‘smart checking’ bank accounts. The account, code-named Cache, will be available via Google Play and mainstream media is already calling it a ‘bitcoin killer’.

The concept and details are still vague according to the Financial Times, but they too are already touting it as the future of banking. It could be that customers just get access to a slick Google powered platform with a traditional bank account bootstrapped to it. Google is not the first tech giant angling for a slice of the lucrative financial pie and it wont be the last.

The firm clearly sees Facebook as a major threat with its crypto domination ambitions. Considering the huge wall of resistance the social media company has met from global regulators and politicians, Google is taking a more traditional approach in partnering with a well-established bank.

Google executive Caesar Sengupta told the WSJ;

Our approach is going to be to partner deeply with banks and the financial system. It may be the slightly longer path, but it’s more sustainable.

The report hinted that the search and advertising giant was more interested in the information associated with checking accounts such as salaries and shopping habits. Trust will be a key issue here as Google and Facebook both make immense profits from people’s personal data, so finances is the next logical step for them to expand on that.

Sengupta added that the internet monopoly wouldn’t sell checking-account users’ financial data and that it doesn’t use Google Pay data for advertising purposes. Just like Facebook, this response has been expected especially when they’re trying to launch a new product line and mistrust in tech giants is at an all-time high.

No Threat to Bitcoin

It is for this reason that there is no threat to bitcoin whatsoever. If anything, Google delving into banking will strengthen the narrative and need for a decentralized global currency. Forbes, as usual, has been barking up the wrong digital tree claiming that Google bank accounts could be a bigger threat than quantum computing but nothing could be further from the truth.

Bitcoin continues to operate in an entirely different sphere of finance than traditional banking, not to mention it’s highly unlikely investors in the leading cryptocurrency will want to pile out of the asset and move funds into a new Google checkings account.

Would Google bank accounts be a threat to Bitcoin? Add your comments below.

The post Google Branches Into Banking, Is It a Threat to Bitcoin? appeared first on Bitcoinist.com.

0 Like(s)

You should also read...

Other 16/11/19 15:58 by Jamie Redman
The Bank of Google Wants Your Spending Data
The multinational technology giant Google has plans to get into the banking industry according to multiple reports that reveal the firm intends to work with Stanford Federal Credit Union and Citigroup...
Read More
Altcoins 18/11/19 20:00 by Tony Spilotro
Former Google Engineer Uncovers 96% Of Privacy Altcoin Addresses
Last week, privacy-focused crypto altcoin GRIN made news after the development team received a donation from an early Bitcoin whale interested in supporting future development of the budding technolog...
Read More
Other 22/11/19 17:40 by Lubomir Tassev
HSBC Closes Account Used to Support Hong Kong Protesters
For months on end, Hong Kong has been the scene of intensive confrontation between pro-democracy activists and its Beijing-supported government. It now seems the financial establishment has taken a si...
Read More
Crypto 29/11/19 18:15 by Jamie Redman
German Banks Authorized to Store and Sell Cryptocurrency in 2020
Next year German banks will be able to manage cryptocurrencies like bitcoin after the fourth EU money laundering directive goes into effect. The directive passed in the German parliament, Bundestag, a...
Read More
Crypto 13/12/19 00:30 by Lubomir Tassev
German Fintechs Rush to Offer Crypto Custody Services Under New Law
Fintech companies in the Federal Republic are quickly moving to develop and offer custodial solutions for digital assets under the new German legislation that will allow banks to store, transfer and t...
Read More