Banks Move to Restrict Crypto Purchases

Today has been a roller-coaster for Bitcoin amid volatility of transactions and financial institutions moving to block customers from purchasing bitcoin using credit cards. Bitcoin is recovering from it’s lowest price since mid-November, just under $6,000, back up to just over $8,000 by the end of the day.

Currently, Bank of America, Citigroup, and JPMorgan Chase acknowledge they are not processing credit card purchases of any cryptocurrency. Social media is rife with outbursts as people share local institutions that have made the same move. Virgin Money has stated it’s customers are also being prevented from making crypto purchases with credit cards.

China and South Korea have been moving towards regulating and restricting cryptocurrencies in their countries. India has taken further moves to “eliminate the use of these crypto assets” for not only illegitimate activities, but also including their role as “part of the payment system.”

Just yesterday, Lloyds Banking Group announced it would no longer accept credit card purchases of cryptocurrencies. They did admit debit cards can still be used to make these purchases, citing the moves being made to protect their customers.

As the market continues to fluctuate, do not expect this to be the final word on cryptocurrencies. Nor should it be assumed to be the “leveling-out” that has been expected.

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