JPMorgan Chase U.K. to Prohibit Crypto-Linked Payments Over Fraud Concerns
JPMorgan Chase, a prominent banking institution, is set to implement a ban on crypto-related payments made through debit cards or outgoing bank transfers for its U.K. clients, effective from October 16. Customers were informed of this decision via email.
The email clarified that if the bank suspects a payment is associated with cryptocurrencies, it will be declined. However, customers are free to explore alternative banks or providers if they wish to invest in crypto assets.
It’s worth noting that finding a crypto-friendly bank in the United Kingdom can be challenging, as many U.K. financial institutions have a history of restricting or blocking customer access to cryptocurrencies. The Financial Conduct Authority (FCA), the local financial regulatory body, recently revealed that it had facilitated discussions between banks and crypto firms due to banks’ reluctance to offer services to the crypto industry.
JPMorgan Chase justified its decision by citing the rising trend of fraudsters using cryptocurrencies to perpetrate scams and steal significant sums of money from individuals. This concern aligns with the reasons given by other U.K. banks that have previously imposed similar limitations.
A spokesperson for Chase U.K. expressed the bank’s commitment to safeguarding its customers’ money, highlighting the surge in crypto-related scams targeting U.K. consumers as a driving factor behind the prohibition. As a result, the bank has opted to prevent the purchase of crypto assets using a Chase debit card or transferring funds from a Chase account to a crypto platform