Kroo, a digital bank based in London, has announced its decision to prohibit customers from engaging in cryptocurrency transactions. This move is a response to the rising number of online fraud cases and scams linked to cryptocurrencies.
As per Kroo’s updated terms and conditions, the bank will impose restrictions on accounts involved in cryptocurrency activities. Specifically, if an account is used to purchase or trade cryptocurrencies, or if credits from cryptocurrency transactions are received, Kroo will block the payments. Persisting in such activities may lead to the closure of the account. Additionally, the bank reserves the right to freeze accounts if any suspicion of crypto-related use arises.
Effective from May 30, 2024, Kroo will no longer support bank transfers or card transactions associated with cryptocurrencies, as stated by the bank.
is a response to the rising number of online fraud cases
While I understand well the fact that the cryptocurrency industry has become riddled with scams and frauds, there is no strong basis why banks should not be working with it. Banks must provide the perimeters to make sure that scams and frauds can be avoided while doing business with people who are into cryptocurrency. I am sure this Kroo digital bank is not yet a big banking entity and they should have recognized the opportunity here to be ahead of their bigger counterparts and established a beachfront advantage. Alas, Kroo opted for a comfortable zone and soon they will realized they are already left behind. What is your message to Kroo, in case given a chance to express your own opinion on this matter?You are right, although Kroo is not the only bank that will be left behind, Chase UK and Starling Bank will also join it (stated in the news). Your point of view is considerable, as the news also stated, that the Central Bank of Russia showed data that tells us that most of the scams occur due to the involvement of cryptocurrencies. I mean, people might be sending their bank funds to other people to buy crypto and vice versa. And once they don't receive the crypto they ask banks for a refund etc.
This move is a response to the rising number of online fraud cases and scams linked to cryptocurrencies...Another big talk from a bank, unless they ask the source of the funds for every transaction, there's no way they can tell if someone doing crypto related transaction in p2p form.
Specifically, if an account is used to purchase or trade cryptocurrencies, or if credits from cryptocurrency transactions are received, Kroo will block the payments. Persisting in such activities may lead to the closure of the account
Of course, they will not do it. They will just completely ban it because... they have the power to do it.This move is a response to the rising number of online fraud cases and scams linked to cryptocurrencies...Another big talk from a bank, unless they ask the source of the funds for every transaction, there's no way they can tell if someone doing crypto related transaction in p2p form.
Specifically, if an account is used to purchase or trade cryptocurrencies, or if credits from cryptocurrency transactions are received, Kroo will block the payments. Persisting in such activities may lead to the closure of the account
What is your message to Kroo, in case given a chance to express your own opinion on this matter?My message will be that they should not get too excited that they have been able to discourage crypto adoption and usage, because their efforts are not enough to stop people from using bitcoins and other cryptocurrency.
I feel like this is just an individual thing and not really a whole UK thing, or anything global. This bank took this decision, and considering they have their own bank ,they have the right to do whatever they want and they used their right this way. I could totally see why someone would have this type of situation, and that doesn't mean that bank is making a mistake.
I feel like this is just an individual thing and not really a whole UK thing, or anything global. This bank took this decision, and considering they have their own bank ,they have the right to do whatever they want and they used their right this way. I could totally see why someone would have this type of situation, and that doesn't mean that bank is making a mistake. I have seen a bank reject real estate (mortgage) loans as well, in the aftermath of 2008 for example, that's why I think its quite important and there should be very important example. Some just don't want to do anything that's it.
If your bank doesn't like crypto, open a new account at another bank who does. That's the simple answer really.
There is no need to trouble yourself over a bank that won't let your crypto transactions go through. And even if you still insist on using them, there are other ways to continue to buy Bitcoin with them. First being, send it to an app like Cash App which you then use to buy Bitcoin.