New forms of bank

Banking can be done in forms not like the traditional banks.

How?

1/ crypto / stable coins

Investors/Buyers of stable coins are like traditional depositors.

In return, they can get some interest on their balances.

They can also enter into “staking” which is just like a “formal” version of deposit.

The crypto exchange or custodians are acting like banks. They can use the deposits to buy yield generating assets or lend out.

2/ private credits

LPs are like depositors.

GP setup lending vehicles like banks – LP put money into the vehicle and GP find projects to loan out the money.