HSBC UK stopping customer payments to Binance
Binance global faces more setbacks and hurdles as the banking giants have appeared to lock arms until they get their way.
- HSBC has been advising customers to stop making payments, according to tweets.
- Multiple banks around the world have recently blocked customers from working with Binance following the decision of the U.K. Financial Conduct Authority’s announcement that Binance was unable to conduct regulated activities in the country.
- Binance has taken several steps to comply and work with regulators.
- This doesn’t impact Binance.us
With another major bank cutting payment channels to Binance cryptocurrency exchange, this is the latest financial institution in the beleaguered United Kingdom that is taking a tough stance against this industry.
It started Monday when Twitter users reported to HSBC UK that they were unable to make credit card payments for Binance.
HSBC first announced the decision to stop providing its bank account services on Tuesday, fearing potential risks to its customers.
“We take our duty as a responsible lender seriously and want to do everything we can to protect you. We’ll continue to monitor the situation and let you know if anything changes,” the bank reportedly wrote.
HSBC UK recently announced it would stop adding new customers in the country, citing a recent warning by the UK Financial Conduct Authority on Binance.
“This also explains some of the risks of investing in crypto assets should this go wrong,” the bank noted.
It’s clear the industry is being cleaned up and is no coincidence that multiple governments at the same time are coming after Binance.
Barclays and Santander blocked payments to Binance for U.K customers, after several other British banks blacklisted the exchange.
HSBC has now apparently emerged as a major anti-crypto bank, withholding its customers from investing both in crypto and virtual asset-related products.
This year, HSBC reportedly banned MicroStrategy from its online trading platform as part of an amended user policy that prohibits customers from interacting with cryptocurrencies.
”We are disappointed that HSBC has taken this decision, and would welcome a dialogue to discuss any concerns that they have,” a spokesperson from Binance told CoinDesk.
“We take our compliance obligations very seriously, and we are committed to working collaboratively with regulators to shape policies that protect consumers, encourage innovation, and move our industry forward,” the spokesperson said.
Binance needs to follow suit in order to maintain a player for long or they will likely be swallowed by the regulated industries of the space.