Summary of the Article
- U.K. banks have imposed new limits on their customers’ cryptocurrency purchases via debit cards, with HSBC and Nationwide being the latest banking giants to do so.
- HSBC states that this decision is due to alleged financial risk to customers.
- These new limitations on customers places U.K. citizens at a further disadvantage in regards to acquiring bitcoin, highlighting the need for more decentralized, peer-to-peer exchanges.
Nationwide and HSBC Impose Limits on Crypto Purchases
British banks have continued to crack down on their customers’ cryptocurrency purchases. According to a Bloomberg report, Nationwide and HSBC are the latest U.K. banking giants to impose new limits on their customer’s cryptocurrency purchases via debit cards and end purchases with credit cards.
Nationwide is applying daily limits of £5,000 ($5,965) on debit-card purchases of cryptoassets, while its credit cards can no longer be used to buy crypto. HSBC said it barred customers from making crypto purchases via its credit cards from last month.
Risk of Fraud Cited as Reason for Restrictions
Most of the major [U.K.] banks have also implemented exchange-specific restrictions, with the world’s largest crypto platform Binance Holdings Ltd. being the most popular target. Alison Rose, CEO of NatWest Group described how the bank had taken a “pretty hard line” on cryptocurrency due to the instability and volatility of the platforms and risk of fraud which she attributed mostly to social media and technology platforms.
UK Citizens Disadvantaged by Restrictions
These new limitations on customers places U.K citizens at a further disadvantage in regards to acquiring bitcoin .As such developments are taking place ,it highlightsthe need for more decentralized ,peer-to-peer exchanges that can facilitate no -KYC bitcoin transactions .
Previous Moves From UK BanksBitcoin Magazine coveredthe startof these movesfrom U . K banks intandemwith increasingdiscussion ofaU . K CBDC .
< h2 >Conclusion h2 > The article highlights how UK banks are imposing stricter restrictions on customer’s cryptocurrency purchases , leadingto a disadvantage in terms ofacquiring bitcoin .This emphasizes the needfor more decentralized ,peer -to -peerexchanges that can facilitate no -KYCbitcoin transactions .