Nearly Half Of UK Banks Don’t Allow Customers To Buy Cryptocurrency

According to research published by The Fintech Times on Friday, just 47% of UK banks do not have rules permitting consumers to interact with cryptocurrency exchanges in this line, with the majority citing security concerns.

A sizable portion of banks in the area is amenable to enabling clients to engage with digital assets, even as the UK continues to investigate how to treat cryptocurrencies. Notably, banks serve as a conduit between clients and websites like cryptocurrency exchanges.

The poll included responses from 17 of the UK’s largest banks, building societies, and banking applications. Seven institutions contacted prohibit debit/credit card transactions from purchasing from crypto exchanges. These banks include Halifax, HSBC, The Co-operative Bank, and TSB, to name a few.

Moreover, only four banks were found to be crypto-friendly, per the survey’s findings. Starling, Monzo, and Revolut are just a few examples of the category’s digital-only banks or banking applications.

It is noteworthy that the platforms allow transfers and withdrawals from cryptocurrency exchanges other than Binance, which is prohibited in the nation.

The analysis revealed that there are essentially no limitations on client contacts with a cryptocurrency exchange at a crypto-friendly bank. Customers may specifically use their debit cards to buy cryptocurrencies, pay for exchanges, withdraw money from their cryptocurrency wallets, and deposit it into a current account.

Related Reading | FSB Outlines Regulatory Framework For Cryptocurrencies

Additionally, institutions, including Barclays, Lloyds Bank, Bank of Scotland, NatWest, and RBS, use various approaches and procedures to allow clients to deal with cryptocurrencies. Notably, they have limitations such as preventing credit card payments and only allowing certain transactions.

However, the poll results are released as the UK moves ahead with plans to create a legislative framework for cryptocurrencies with the goal of turning the country into a center for digital assets. Notably, exchanges have become one of the main ways to invest in cryptocurrencies, with the nation registering a sizeable number of investors.

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