JPMorgan Chase UK imposes ban on crypto transactions
Chase cited customer losses due to crypto fraud in an email to customers
Ink Drop/Shutterstock modified by Blockworks
Starting on Oct. 16, JPMorgan Chase UK customers will not be able to make crypto transactions via bank transfer or debit card.
Crypto-related transactions will be declined from October onwards, a Chase spokesperson explained in an email to Blockworks. Wire transfers to crypto exchanges will be included in the ban.
“We’re committed to helping keep our customers’ money safe and secure. We’ve seen an increase in the number of crypto scams targeting U.K. consumers, so we have taken the decision to prevent the purchase of crypto assets on a Chase debit card or by transferring money to a crypto site from a Chase account,” a Chase spokesperson said.
The bank cited a study from Action Fraud, the fraud reporting agency in Britain, which found that consumer losses connected to fraud increased by 40% and surpassed 300 million British pound sterling.
In an email to customers, Chase said that customers can switch banks or providers but cautioned that customers “may not be able to get the money back if the payment ends up being related to fraud or a scam.”
Chase isn’t the first bank to either block or limit crypto transactions. Multiple banks, earlier this year, imposed tighter restrictions on UK customers looking to use crypto.
The Royal Bank of Scotland, back in March of this year, moved to limit transfers to crypto exchanges.
On its support center page, RBS said that it will “block or limit online banking and mobile app Faster Payments and Debit Card transactions made to these exchanges to £1k a day and £5k in any 30-day period, until further notice. These limits apply separately to each account.”
Read more: The UK isn’t giving crypto firms a chance
Santander also limits crypto-related transactions, though it prohibits payments from a customer’s account to Binance. Customers can, however, transfer funds to their accounts from Binance.
There are other banks and providers that UK customers can use, including both Revolut and Monzo.
Monzo, on its site, says that customers can “use a range of cryptocurrency exchanges as part of your personal banking with us.”
Revolut, which announced the shuttering of its US services in early October, also allows UK customers to send crypto. Its site warns that it “cannot retrieve funds sent to the incorrect address or using the incorrect network.”
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