Isn’t it time for the reformation of banking and banks?
To answer the question on our headline we should ask ourselves one more but very simple question.
Do we know how banks make money?
Yes, they use your money!
When you put money to X bank, let’s say the bank pays you 1% interest at the end of the year. But, at the same time, If you borrow money from X bank, they lend you at a 3% interest rate.
Let’s go back to Bill Gates’ quote,
“Banking is necessary, but banks are not.”
This sentence was difficult to understand in 1994, but now it’s becoming true with blockchain technology and Enno Wallet.
Blockchain technology gives people the freedom to use their money however they wish and wherever they are. People do not need to trust third parties, all come in a trustless way.
A blockchain is a distributed ledger. It is like a public spreadsheet that exists on different computers simultaneously. When you change or add to this spreadsheet, it updates all the spreadsheets on all the computers simultaneously. Information, like details of a transaction, is not stored in one place with one entity in control of it but stored everywhere there is a copy.
When you use a blockchain to send a crypto-asset like Waves to another person anywhere in the world, that transaction can be verified by anyone and everyone who has a copy of the blockchain. No bank is required to process that payment.
But, when you try to send digital cash from your account to someone else. Both the sender and receiver banks would need to individually verify that payment themselves, which adds time cost, financial cost, and opportunity for costly mistakes can happen.
The bank processes payments in a centralized way. On the other hand, blockchain transactions are processing in an entirely different way. They begin with the sender, who holds their funds in a crypto wallet like Enno Wallet. The sender initiates payment by indicating the address they want to send funds to and then executing the payments by signing with their private key.
The groundbreaking side of blockchain technology is that payments can be processed in a decentralized way — meaning without the need of a third party like a bank.
But, banks are not only payment processors, do they?
Remember we mentioned lending and borrowing at the beginning of our article. We can write smart contracts on top of blockchains — meaning we can do everything that banks or central banks can do!
In Enno Wallet, you can swap your crypto assets in a decentralized way. You can use decentralized forex, stake & earn from algorithmic stablecoins.
DeFo (Decentralized Forex) is an extension built on top of the Neutrino protocol that enables instant swaps between stable-price assets tied to popular national currencies, indices, or commodities. Swaps are carried out by a smart contract, which ensures reliability, transparency, and virtually unlimited liquidity at a predetermined rate. All DeFo assets leverage the underlying Waves blockchain’s consensus algorithm to enable staking and thus provide asset holders with attractive annual interest rates.
You can start staking your DeFo assets within Enno Wallet and start earning up to 10% native APY regardless of any hype.
Enno Wallet is a secure crypto wallet and gateway to decentralized finance. Enno Wallet users are able to store, send, receive, stake, swap, manage and earn digital assets without a custodian service. It’s a non-custodial wallet and a gateway to a trustless and decentralized world.
Soon, you will be able to lend or borrow money within Enno Wallet in a decentralized way. You will be able to add or remove liquidity to decentralized automated market maker pools.
Welcome to the new generation of finance, be your own bank!
Our website: https://www.ennowallet.com
