It has emerged that bank bosses in the UK are particularly skeptical of crypto. To this end, they have taken drastic decisions regarding services related to this sector.
UK banks fear fraud and volatility in crypto
Lawmakers in the UK reported recent remarks from chief executives of banks in the region. The latter revealed that they do not allow their clients to invest in crypto due to its risks. They fear in particular the fraud and volatility present in the sector digital assets for a long time. The only way they have currently found to protect their clients against these issues is to block any crypto investment.
Alison Rose, chief executive of NatWest Group, made a statement on the subject to the House of Commons committee. “We’ve Taken a Pretty Hard Line as a Bank on Crypto“, she confided. She has explained that NatWest Group does not allow individuals and high net worth individuals to invest in cryptos.
“We know this can be frustrating for clients as they may want to investadded Alison Rose. The leader recognizes that customers are free to do what they want with their money. However, she argues that it is the bank’s duty to block them if fraud is revealed.
Appropriate regulation could make a difference
The CEO of NatWest Group believes that the problem in the crypto sector must be attacked at the root. She referred to social media and technology platforms. She indicated that they are a major source of fraud. Alison Rose pointed out that they are behind the fraud affecting 60% of customers.
Furthermore, many bank executives believe that Upcoming Regulations Could Boost Crypto Confidence. Lloyds Bank CEO Charlie Nunn said:We are very supportive of regulation and regulators looking at the possibility of regulating crypto. Our focus will always be on client outcomes in this environment.“.
Charlie Nunn said:I don’t think Lloyds Banking Group will want to promote cryptos“. He added that his bank especially wants to ensure that its customers invest in a safe sector.
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