The British bank TSB plans to ban the purchase of cryptocurrencies for fraud reasons. The company reported an alarming number of fraudulent transactions in cryptocurrency purchases. Transactions with Binance, the cryptocurrency giant, are reportedly involved in two-thirds of these fraud reports. A Binance representative denies these claims, saying the exchange is “very serious” with complaints like these complaints.
TSB bans cryptocurrency purchases due to woman fraud
The British banking institution TSB plans to ban the purchase of cryptocurrencies. Its customers are reporting an alarming number of fraudulent transactions involving cryptocurrency institutions. According to the Telegraph, the bank will put this ban in place in the coming weeks. This action can result in more than five million customers not having access to cryptocurrency exchanges.
A spokesman claimed the ban would be taken to protect its customers from likely scams. The spokesman stated:
We take our obligation to protect our customers very seriously and continuously check retailers and websites with high fraud rates.
According to TSB figures, one in eight purchases of cryptocurrencies ends in a fraudulent activity. This is a much higher number than calculated for other transactions. Scammers and scammers use these platforms to deceive customers and take control of their accounts and steal their money.
TSB also states that these platforms have low customer support standards. The company spokesman claims that Binance and Kraken, two popular cryptocurrency exchanges, almost never respond to fraud allegations.
Stock exchanges accused
TSB also stated that Binance, the largest cryptocurrency exchange, is a hub for this type of scam. More than two-thirds of the reported fraud cases had to do with Binance and its trading platform. However, Binance denied these claims. A spokesman for the exchange said the platform was “very serious” when it came to dealing with such actions.
Kraken also denied having such behavior, reported by TSB. Steven Christie, its global head of compliance, said:
We categorically reject the allegation that Kraken does not respond to calls for help in cases of fraud.
TSB is the latest bank to announce some sort of measure against the exchange of cryptocurrencies. Last June, Barclays, Monzo and Starling, other UK-based banks, also blocked cryptocurrency purchases for similar reasons. At the time, users filed complaints on social media, complaining that they couldn’t manage their money the way they wanted to.
According to the FCA, 4.4% of UK citizens own some form of cryptocurrency. As a result, banks need to be vigilant whatever their customers do on these platforms.
What do you think of Tsb’s latest cryptocurrency purchase ban? Let us know in the comments section below.
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