The Bitcoin Banking Model

Global financial institutions operate with a “guilty until proven innocent” model when onboarding clients. We all need to prove, via documentation, that our source of wealth is legitimate and that we will represent a net benefit to the bank. This is the unfortunate reality we live in as a result of illicit activities carried out by some and that banks try to prevent.

By contrast, Bitcoin is built with a “innocent until proven guilty” model, where cheaters are prevented or ejected by the protocol itself. When things get bad in Global South countries, banks tend to pull out as a result of their “guilty until proven innocent” model, leaving behind a trail of unbanked individuals, families and businesses in their time of need. Bitcoin does not pull out, it is constantly on, serving as a financial lifeboat to those that need it the most, from putting bread on the table to buying raw materials for their business.