Chase UK Blocks Customers from Purchasing Crypto Assets
Chase UK, the British challenger bank brand of JPMorgan, has implemented a ban on customers in the U.K. from buying crypto assets. The bank made an announcement on Tuesday stating that starting from October 16, customers would no longer be able to make crypto transactions using debit cards or outgoing bank transfers.
If you attempt to make a crypto-related transaction, you will receive a declined transaction notification, according to an email sent by the bank to its clients. Chase UK claims that this move is aimed at protecting its customers and safeguarding their funds.
Increasing Crypto Fraud Prompts the Ban
Chase UK explained that it has taken this step because fraudsters are increasingly exploiting crypto assets to steal large sums of money from individuals. The bank cited data from Action Fraud, Britain’s fraud reporting agency, which revealed that consumer losses due to crypto fraud have surged by over 40% in the past year, surpassing £300 million for the first time.
Last year, more than 40% of all reported crimes in England and Wales were related to crypto scams, as reported by Chase UK in the customer email.
Other Banks Also Restricting Crypto Purchases
Chase UK is not alone in imposing limitations on customers’ ability to purchase cryptocurrencies. NatWest has already implemented restrictions that cap daily transfers to crypto exchanges at £1,000 and limit monthly transfers to £5,000 in an effort to combat the rising number of fraud attempts involving crypto.
In addition, HSBC and Nationwide have also announced similar measures restricting purchases linked to cryptocurrencies.
A spokesperson for Chase emphasized their commitment to protecting customers’ money and stated that the decision was made due to the increasing number of crypto scams targeting U.K. consumers.
Hot Take: Chase UK Blocks Customers from Buying Crypto Assets to Protect Against Rising Crypto Fraud
Chase UK has taken the step of blocking its customers in the U.K. from purchasing crypto assets due to the surge in crypto fraud. The bank cited increasing incidents of fraudsters using crypto assets to steal substantial amounts of money from people. By implementing this ban, Chase UK aims to protect its customers and their funds. Other banks in the country, such as NatWest, HSBC, and Nationwide, have also introduced restrictions on crypto purchases to combat the rise in fraud attempts involving cryptocurrencies. This move highlights the growing concern over crypto-related scams and the need for increased security measures within the industry.
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