UK-based bank Starling has stopped its customers from trading crypto with their cards.
Starling has restricted card crypto transactions after FTX was plunged into bankruptcy by a liquidity crisis. The recent restrictions aren’t the first time Starling has blocked crypto-related activities. The bank temporarily suspended payments to crypto exchanges in May 2021 due to similar concerns. Starling then resumed crypto exchange trading after about a month.
British Bank Stops Crypto Transactions
Starling has suspended card purchases of other cryptocurrencies, primarily Bitcoin (BTC).
The online bank said on Twitter that it is halting operations, citing the perceived high risks of crypto trading. The bank also described cryptocurrencies as “high risk and heavily used for criminal purposes.”
Hi there 👋 We always review our position in relation to financial crime. We consider crypto activity to be high risk. We’ve taken the decision to prevent all card payments to crypto merchants and to implement further restrictions on outgoing and incoming transfers.
— Starling Bank (@StarlingBank) November 22, 2022
Here’s Starling’s statement on Twitter: