Cryptocurrency News

UK Bank TSB Has Now Banned Digital Currency Purchases From Kraken And Binance

United Kingdom Bank TSB has reportedly been taking various actions in a continued effort to stop its clients from being able to use both Binance and Kraken for the purposes of buying crypto. The reason for this ban is due to the alleged poor structure of the exchanges’ safety measures.

TSB is not the only one either, as many British banks have made it quite difficult to become increasingly involved with the crypto market and industry. In addition to the aforementioned poor safety measures, risks pertaining to fraud and money laundering had also been referenced. TSB, in particular, is concerned with the ‘abnormally high’ number of frauds that occur in conjunction with cryptocurrency usage in the United Kingdom.

Ties with cryptocurrency exchanges could be cut

As per the latest reports, TSB had received almost 850 complaints about fraudulent activities within the timespan of March 15th to April 15th 2021. These complaints had come from Binance users alone. TSB, therefore, claims that any and all attempts towards establishing a line of communication with Binance in the hopes of solving this issue have thus far been largely unsuccessful. To make matters even more confusing, Binance has claimed that TSB’s security team had never contacted the exchange, to begin with.

A Binance representative had spoken about the crypto exchange’s continued commitment towards ensuring the safety of funds and transactions for its respective userbase, despite the fact that the exchange had been previously hacked a couple of years ago.

Kraken, on the other hand, was more direct in its response. Steven Christie had denied all of the allegations made against the exchange by TSB. However, he also failed to mention any kind of stance that the exchange shall take in accordance with the potential outbreak of a new type of wire fraud.

Scams are becoming more commonplace

Reports of fraud have always been a sensitive topic for TSB mainly because it has its own ‘fraud protection service’, which essentially provides refunds to anyone who may have been scammed. However, with the ever-increasing number of scams in the country, the bank has become a bit hesitant and has thus requested its clients to be wary of any text, email or call from a so-called ‘cryptocurrency investment advisor’ as this would most likely be a scam.

As of this point in time, the bank has not yet issued any kind of official statement pertaining to its stance on Binance or Kraken. However, there has been a rise in the amount of interest from various regulators in the United Kingdom, all of whom desire tighter regulations and more power to oversee the crypto-related activities which occur in the country.

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