• U.K. banking giants, Nationwide and HSBC have imposed new limits on their customers cryptocurrency purchases via debit cards and ended credit card purchases
• Most major U.K. banks are also implementing restrictions on specific exchanges with Binance Holdings Ltd being the most popular target
• NatWest Group CEO Alison Rose has described how the bank had taken a “pretty hard line” on cryptocurrency due to the instability of platforms and risks of fraud
U.K Banks Cracking Down On Cryptocurrency Purchases
U.K banks have been cracking down on their customers’ cryptocurrency purchases recently. According to a Bloomberg report, two U.K banking giants, Nationwide and HSBC have implemented new limits on their customers’ cryptocurrency purchases via debit cards and ended credit card purchases entirely.
Exchange Specific Restrictions Implemented
Most major U.K banks have also implemented exchange-specific restrictions with Binance Holdings Ltd as the most popular target according to the report. NatWest Group CEO Alison Rose has described how they bank had taken a “pretty hard line” on cryptocurrencies due to the instability of these platforms and risks of fraud based off social media and technology platforms as its primary source.
Limitations Placing Citizens At A Disadvantage
These new limitations places U.K citizens at a further disadvantage in regards to acquiring Bitcoin which highlights the need for more decentralized, peer-to-peer exchanges that can facilitate no-KYC Bitcoin transactions as these developments take place.
Increasing Discussion Of A UK CBDC
This move comes in tandem with increasing discussion of a UK Central Bank Digital Currency (CBDC). The idea is that this currency would be backed by central government allowing for easier access for citizens who may not have access to traditional banking services or are unable to purchase cryptocurrencies through regulated methods such as debit or credit cards issued by their banks.
In conclusion, these recent moves from U.K banks further restrict customers from purchasing cryptocurrencies which puts them at an even bigger disadvantage compared to other nations where such regulations are not in place yet or where access to decentralized exchanges is more readily available, emphasizing the need for more decentralized, peer-to-peer exchanges that can facilitate no-KYC Bitcoin transactions without any restrictions or limitations set by third parties such as banks or governments