Have you tried to purchase cryptocurrency using your credit card recently? If so, chances are that the charge was declined and it had nothing to do with the available credit on your account. At the end of the day, credit cards and cryptocurrencies are starting to cross paths and it seems to be making banks nervous. As a result, we’re watching as a wave of banks and credit card issuers are banning the purchase of cryptocurrencies using credit cards. Today, we’ll talk about where this started, why it’s happening, and what it means for cryptocurrency ahead.
Cryptocurrency Purchases Are Getting Banned On Credit Cards
As mentioned above, if you try to purchase cryptocurrency with your credit card today, chances are that the charge will be declined. That’s because in what seemed to be an overnight move, big banks are starting to ban the purchase of cryptocurrency using credit cards. In the United States, banks like Bank Of America, Citigroup, JP Morgan, Capital One and Discover have all banned their customers from using credit cards to purchase cryptocurrency.
It all started back in January when Visa ended its relationship with a cryptocurrency card provider. From there, we saw Chase announce that cryptocurrency purchases would be treated as cash advances. Shortly after banks around the world started to make announcements that cryptocurrency purchases would not be allowed on credit cards. Even in the UK, MBNA, Halifax, and Bank of Scotland customers are not able to purchase cryptocurrency using their credit cards.