How Much Do You Rely On The Financial Institutions Due To Corruption?

When there is a better system and management, people trust that system. People like to go to developed countries because they have better systems and security. On the flip side, in developing countries, you may not have a better system and security, so when it comes to trusting financial institutions, you are careful about that.

People usually try to avoid cryptocurrency because it's an unregulated market. You may not get legal support and security in case anything happens. Moreover, there are countries where cryptocurrency falls into a gray area. They don't say clearly whether it's illegal or legal. People feel comfortable putting their money in traditional financial institutions.

There is corruption in financial institutions. You may not accept that in public, but it is going on. For example, people buy different financial products giving their money to those financial institutions. Now the financial institutions are in control of your money.

Those financial institutions don't just keep your money in their hands, they lend the money to other financial institutions or deposit money in other banks. Poor-performing banks try to convince the CEO or employees in the management of the financial institutions to deposit their money in their banks. They promise to give the same rate of interest that other banks offer and they will give a certain percentage of deposited money to the employees in the management as a bribe.

Since the employees in the management of the financial institutions get a significant amount of money as a bribe, they deposit their money to the poor-performing banks. Eventually, those banks fail to repay the money with interest at the maturity period. You will be surprised to see the corruption at a high level.

If the financial institutions take legal action to get their money from those banks, those banks buy opposition lawyers with money and it takes a very long time to resolve this issue. Sometimes those banks get an extended time to repay the money. The chance of getting the money is very low.

Here people who buy financial products from those financial institutions suffer the most. If you live in a country where you see more corruption in the financial sections, how much do you rely on financial institutions?

Blockchain and cryptocurrency give you the freedom to breathe and have control over your finances. You hold crypto in your wallet, it's yours. No one can take that away from you as long as you keep your private keys safe and secure. You don't have to deal with those financial problems and losing money due to corruption.

So what do you think? Please feel free to leave your comments. Thank you for reading this post. That's it for now. I'll be back with another post.

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