Nearly 40% of UK investors face blocked crypto payments, prompting bank shifts amid rising tensions.
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Four in 10 crypto investors in Britain reported that their banks blocked or slowed payments to digital asset platforms, highlighting growing tension between traditional finance and the country’s crypto sector.
The findings come from an IG Group survey of 500 active crypto users and 2,000 adults across the U.K., according to a CoinTelegraph report.
Among those affected, nearly a third filed complaints, while more than a third switched banks after encountering restrictions.
Public opinion on the issue is split. According to the survey, 42% of adults said they opposed banks stepping in to restrict crypto payments, while about one-third supported the practice.
Although trading digital assets is legal in Britain, investors face regulatory and banking limits when moving money into the sector. Only companies registered with the Financial Conduct Authority (FCA) can offer crypto services in pounds, and rules prohibit retail buyers from using credit cards or other forms of borrowed capital.
Some high-street banks, including Chase UK and NatWest, have introduced additional curbs, citing fraud risks. Those restrictions have left many customers struggling to fund accounts with regulated exchanges.
The survey results add to wider criticism of the U.K.’s cautious approach to digital assets. Former Chancellor of the Exchequer George Osborne, now an adviser to Coinbase, recently argued that Britain is falling behind other financial centers.
He highlighted the near absence of pound-backed stablecoins in a global market worth nearly $300 billion, with sterling-linked tokens making up just a fraction of the total supply.
Even so, regulators have made incremental changes. Beginning Oct. 8, the FCA will allow retail investors to trade crypto exchange-traded notes, reversing a ban imposed during a period of high volatility.
