Two researchers from Spanish financial group Banco Santander S.A. have released a report concerning the benefits of Bitcoin versus credit cards and traditional bank services. The 10-page paper details the increasing risk for traditional financial management as cryptocurrency solutions become more popular.
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Banco Santander the Mercado Bitcoin Brokerage Discuss Bitcoin
On August 23, Banco Santander affiliates met with the Mercado Bitcoin brokerage and Santander RD officials from the Latin American region to discuss the future of the technology.
Researchers Henrique Navarro and Bruno Mendonca come to the conclusion that they believe Brazilian banks could benefit from distributed ledger technology.
Even though the technology is in its early stages, the researchers note that banks worldwide are investing resources into researching distributed ledger protocols. The Banco Santander affiliates said the blockchain concept and platforms like Bitcoin will “redefine money transactions in the banking world.”
The report notes that credit card services and traditional financiers will be at a disadvantage against merchants and suppliers who accept bitcoins. The study explains why Bitcoin may outperform legacy services, stating:
Some advantages are the low (near zero) costs in a bitcoin transaction;