The Chief Financial Officer (CFO) of PayPal and Sequoia Capital Investments partner Roelof Botha has been permanently banned from Bank Of America without any explanation. Numerous individuals and businesses which have been banned from PayPal in a similar fashion will find this incident ironic, and it is proof why the world needs Bitcoin (BTC).
— Roelof Botha (@roelofbotha) November 18, 2019
In the letter that Botha received, Bank of America essentially states that they have the right to close an account for any reason and at any time, and that this decision is final and will not be reconsidered. This is perhaps karma coming full circle, since PayPal has done the same thing to an untold number of people without warning.
To add to the irony, a bunch of Bitcoiners on Twitter consoled Botha and told him that he can at least use Bitcoin (BTC) without ever being banned, even though PayPal has banned practically every account associated with cryptocurrency activity no matter how legitimate it was.
At least Bank of America is giving Botha three weeks to pull the money out of his account, since often when PayPal bans an account they can freeze the money for months or even permanently.
This incident reveals the necessity of Bitcoin (BTC), since the financial sector does not treat access to bank accounts as a human right, and can freeze and ban accounts at will without ever telling the customer why. Bitcoin (BTC) on the other hand is completely decentralized, and can never be frozen or reversed.
Also, one of the main advantages of a bank used to be the interest that was accrued from holding funds in an account long term. Now interest is practically zero, and bank users actually lose money due to fiat inflation long term. This is despite the fact that banks still make tons of money by using deposited funds for investment purposes. In some parts of the world, there are even negative interest rates, which means bank users are penalized for holding money.
The silver lining is that banks banning customers without explanation, and not sharing any of the investment profits they make with deposited funds, is creating a favorable environment for Bitcoin (BTC) to grow in popularity.