Middlemen Make Banking Over 3,000% More Expensive than Bitcoin (BTC)
Judging by the tweet posted by Pat Chirchirillo, a financial advisor at McAdam Financial based in Philadelphia, Bitcoin (BTC) turned out to be more than 3,000% more cost-effective than banks and financial institutions based on the centralized management.
Apparently, once Pat Chirchirillo decided to make more than 6 transfers between savings and checking, the bank decided to charge him 10$ for the service, which made the advisor d0 some calculations on how much money is an average bank client losing on the middlemen in oppose to Bitcoin (BTC) transfers and decentralized operations.
Financial Advisor Claims Bitcoin Transfers are 3,233% Cheaper than Banks
It is not a secret that billions of dollars are being pre-funded to banks every year just to cover the fees for cross-border transactions, just as it is not a secret that the cost paid in fees for transfers and cross-border transactions is due to middlemen and the centralized governance across banks and financial institutions.
Moreover, a financial advisor working for a McAdam Financial agency, decided to check the numbers the banks are taking for other services such as making more than 6 transfers between savings and checking in this case.
As explained by Chirchirillo, the financial advisor was charged the amount of 10$ by the Bank of America due to the number of his transfers in the given timeframe, which resulted in conclusion that BTC transfers are at least 3,233% cheaper than making transfers through traditional banking governed by third parties.
As noted by Chirchirillo, if he had made the same amount of transfers with BTC, he wouldn’t pay more than 30 cents for all 6 transfers.
McAdam Financial’s advisor decided to share his discovery with Twitterati on January 30th:
“Bank of America just charged 10 dollars because I made more than 6 transfers between savings and checking this month. 6 transfers with crypto would cost about 30 cents. That’s 3,233% more expensive
Long Bitcoin, short the Bankers @APompliano #disruption #RentSeekingMiddlemen”
Bitcoin Cheaper and More Accessible
To create a retrospective on the 10$ bill that Chirchirillo had to cover for the 6 transfers he had made earlier, the financial advisor could have made 75 Bitcoin-based transfers for the same amount of money.
Moreover, Bitcoin is more accessible than banks and financial institutions as all BTC users can operate their BTC units any time of the day and anywhere in the world with a less than a decent internet connection.
Additionally, statistics claim that over 17 billion people don’t even have access to banks and bank accounts, which could be solved through cryptocurrency and the increased accessibility of blockchain-based platforms operating with different values and monetary transfers, such as Bitcoin.
If it is to judge by the enthusiasm and determination of Chirchirillo who is advising to “go long on Bitcoin” and “short the bankers”, financial advisors might be turning to cryptocurrency transfers and investments when advising their clients.
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