Another reason the Thiel model simply makes no sense for retail finance is that it is structurally impossible to build the kind of “moat” that can, at the very least, keep a crappy business like Uber limping along. A huge element of finance, certainly for retail depositors but also more generally, is that you want your deposits to be as liquid as possible. To attract deposits in the first place, customers must be convinced it will be easy to withdraw … and potentially deposit their money elsewhere. This makes banking a fundamentally very, very tough business to monopolize in even a marginally free market.
Related posts
-
How Memes and Gamification Are Changing Finance As We Know It
All that is happening — both in traditional and crypto finance — speaks to something emergent... -
Finance CEO Raoul Pal Says Crypto Will Reach $100 Trillion Market Cap
Raoul Pal, the co-founder and Chief Executive Officer (CEO) of Real Vision Group, has predicted that... -
XRP shows resilience amid crypto market volatility
XRP, the native token of Ripple’s open-source XRP Ledger, displays positive technical signals despite recent volatility...