Blockchain technology can perform financial transactions more efficiently, the presidents son has said

Banks could face extinction within a decade if they fail to embrace blockchain technologies, US President Donald Trump's second son Eric, a crypto entrepreneur, has warned.

In an interview with CNBC on Wednesday, Eric Trump lambasted what he described as the slowness and inefficiency of the traditional banking system.

"The modern financial system is broken, it's slow, it's expensive," he told the business news channel.

Trump, who launched a bitcoin mining company called American Bitcoin in March, said he turned to digital currencies and decentralized finance when he realized that "our banking system favors the ultra-wealthy" and "was weaponized against the vast majority of people in our country."

Decentralized finance platforms allow individuals to conduct transactions directly with one another, often with low or no fees, something traditional banks rely on to generate income.

Trump has argued that blockchain technology can perform all the functions of traditional banking systems more efficiently.

"I'm telling you, if the banks don't watch what's coming, they're going to be extinct in 10 years," he said.

In the interview, Trump also criticized the SWIFT interbank financial messaging network as an "absolute disaster," highlighting the delays and inefficiencies in cross-border transactions.

US President Donald Trump's family have expanded into the cryptocurrency sector, launching a decentralized finance project called World Liberty Financial. They have also announced plans for a dollar-backed stablecoin.

In 2021, major American financial services company Capital One severed ties with over 300 accounts linked to the Trump family and their businesses. The move came two months after the January 6 Capitol riot, where Trump's supporters attempted to overturn his defeat in the 2020 presidential election.

Last month, Eric and his brother Donald Jr. filed a lawsuit against Capital One, claiming its decision to close the accounts was an attack on free speech and free enterprise, and a response to their father's political views.

READ MORE: Trumps tariffs trigger crypto market sell-off

Once a crypto critic, President Trump has changed his position on digital currencies, attracting significant industry support. Since returning to the White House, he has pledged to make the US the "crypto capital of the world" and to serve as a "crypto president."

(RT.com)