CryptoUK calls on regulators to address de-banking of digital asset firms

The self-regulatory commercialized relation CryptoUK has projected providing a ‘white list’ of registered firms successful the United Kingdom to code banks limiting oregon banning transactions to crypto companies.

In abstracted letters to U.K. Economic Secretary Andrew Griffith and members of the Financial Conduct Authority and Payment Systems Regulator dated March 21, CryptoUK said galore banks had begun imposing broad bans connected dealing with crypto firms “instead of taking a risk-based and case-by-case approach.” The relation projected the instauration of a ‘white list’ of registered crypto companies allowing them to behaviour transactions with banks freely without limitations oregon the menace of bans.

“Many of the large UK banks person present enactment successful spot bans oregon restrictions, and we are acrophobic that different banks and Payment Services Providers (PSP’s) whitethorn besides soon travel suit,” said CryptoUK. “We judge that authorities enactment is present warranted.”

Under the U.K.’s Financial Conduct Authority, crypto services providers successful the state indispensable beryllium registered and comply with anti-money laundering regulations. Some U.K. banks including HSBC Holdings and Nationwide Building Society person reportedly banned crypto purchases for retail customers utilizing recognition cards.

Related: Congress announces March 29 proceeding into failures of SVB and Signature Bank

The CryptoUK connection echoed concerns among integer plus advocacy groups and lawmakers successful the United States pursuing the failures of the crypto-friendly Silvergate Bank, Silicon Valley Bank, and Signature Bank. The U.S.-based Blockchain Association submitted requests for information from the Federal Deposit Insurance Corporation, the committee of governors of the Federal Reserve System and the Office of the Comptroller of the Currency related to the imaginable “de-banking of crypto firms.”