Chase UK Explains Crypto Payment Ban, Criticized by Coinbase CEO

Chase UK, a JPMorgan Chase subsidiary, has announced a significant change in its crypto payment policy, effective from 16 October 2023, citing fraud concerns.

PMorgan Chase & Co. is a multinational financial services holding company based in New York City. It provides a variety of financial services, such as retail and commercial banking, asset management, and investment banking. With a history spanning more than two centuries, the company operates globally and serves a diverse clientele that includes individuals, small businesses, and large institutions.

On 26 September 2023, Chase UK, a subsidiary of the global financial institution JPMorgan Chase, announced a major shift in its policy concerning cryptocurrency payments. The bank stated that starting from 16 October 2023, it will decline any payments it believes are associated with crypto assets. This move is aimed at protecting customers from the rising risks of fraud and scams involving cryptocurrencies.

The bank’s announcement was framed as a measure to enhance customer safety. Chase UK emphasized that the decision was made in response to the increasing number of fraudsters who exploit crypto assets to siphon off large amounts of money from individuals. By refusing to process payments that are suspected to be related to cryptocurrencies, the bank believes it is taking a proactive step in safeguarding its customers’ financial well-being.

For those who wish to continue investing in cryptocurrencies, Chase UK suggested that they could use other banking services or providers. However, the bank also issued a warning, urging customers to exercise caution when dealing with crypto assets. The bank explicitly stated that if a payment turns out to be fraudulent or part of a scam, the customer may not be able to recover the lost funds.

Chase UK has directed its customers to visit its website for more information on how to protect their money, emphasizing the importance of being cautious when dealing with crypto assets.

Brian Armstrong, the Co-Founder and CEO of Coinbase, expressed strong disapproval of Chase UK’s new policy. In a post on social media platform X, Armstrong labeled the bank’s actions as “totally inappropriate behavior.” He also tagged Rishi Sunak, the UK’s Prime Minister, and Andrew Griffith, Member of Parliament for Arundel & South Downs and Economic Secretary to the Treasury & City Minister, questioning whether Chase UK’s policy aligns with their governmental objectives. Armstrong went on to suggest that UK crypto holders should consider closing their Chase accounts as a form of protest against the bank’s new stance on crypto-related payments.

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