British parliament investigates local banks’ blocking of crypto companies

The Cross-Party Parliamentary Group on Crypto and Digital Assets (APPG) has launched an investigation, open until August 31, to assess why banks such as HSBC, Nationwide, NatWest, Santander, and Starling Bank are blocking cryptocurrency payments and transfers.

The impact of these actions on consumers, competition, investment, and innovation will be evaluated before the new crypto regime comes into effect.

The UK Parliament is following leads indicating that cryptocurrency companies are facing difficulties accessing banking accounts and services.

“Lord Vaizey de Didcot, former Minister for Digital Economy and Member of the House of Lords, is co-chairing the group along with Labour MP Gurinder Singh Josan. Both believe the moment is particularly relevant to review the relationship between traditional banks and the digital asset industry.”

Once the evidence-gathering phase is complete, the group will prepare a report with its findings and recommendations. This will then be submitted to the “British Government, which will face a political assessment of a problem the industry has been raising for several years.”

Among the arguments presented by customers, particularly in the insurance sector, is that “financial institutions are rejecting their applications simply for trading cryptocurrencies, even when they are seeking to comply with regulatory requirements.”

Parliament has the task of determining whether the criteria and policies applied by banks are clear. “The APPG’s concerns are not limited to businesses. Its members will analyze the impact of the restrictions on consumers, competition, investment, hiring, and innovation within the UK.”

M.Pino

Source: diariobitcoin

(Reference image source: Erling Løken Andersen on Unsplash)

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