United Kingdom-based financial institution TSB Banking Group Plc. will soon ban its over 5.4 million customers from buying Bitcoin and other cryptocurrencies.
Bank TSB has reportedly received a plethora of complaints from customers about crypto-related fraud cases. Indeed, the U.K. bank says about 12.5% of payments to crypto exchange platforms involve transactions as against one in 5,500 for non-virtual currency-related transfers.
Crypto exchange giant Binance has reportedly been linked to the rising number of crypto fraud complaints lodged by the bank’s customers. Two-thirds of suspected cases were linked to Binance, with 849 instances occurring between mid-March and mid-April.
Apart from Binance, TSB Bank identified United States exchange service Kraken as another platform linked to a significant number of suspected fraud cases. The U.K. bank also criticized crypto exchanges for not responding to fraud-related customer complaints.
Commenting on plans to introduce a crypto ban, a spokesperson for TSB Bank remarked that it was the bank’s obligation to protect customers from platforms with “excessively high fraud rates.”
TSB Bank joins a growing list of U.K. financial institutions that have barred customers from crypto. Apart from NatWest, other British banks such as Barclays and Starling have moved to ban customers from depositing cash in cryptocurrency trading platforms.