Beginning on October 16, Chase, a British retail bank owned by JPMorgan (JPM.N), would prohibit customer transactions in cryptocurrencies due to a rise in fraud and scams.
On September 25, a bank representative made it clear that Chase Bank’s UK clients will no longer be able to buy or sell cryptocurrencies using their debit cards or outgoing bank transfers.
Customers who try to complete a transaction involving cryptocurrency “will receive a declined transaction notification,” the bank said in a statement. Because there has been a “increase in fraud and scams” using cryptocurrency holdings, Chase has chosen to impose the new limits.
Customers who still want to work with cryptocurrencies are asked to utilize another bank or service provider, per the institutions’ request.
Consumer losses in the U.K. due to cryptocurrency fraud had climbed by more than 40% year over year as of May 2023, according to data from Action Fraud, Britain’s fraud reporting bureau. According to the agency’s spokeswoman, the losses in the United Kingdom are expected to have topped $300 million ($365 million).
Chase warned, “If we believe you are making a payment related to crypto assets, we will decline it,” in an email to customers. You can try using a different bank or service provider if you still want to invest in cryptocurrencies, but please proceed with caution as you might not be able to get your money back if the transaction turns out to be fraudulent or a scam.
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