"Banks and crypto"
There is no doubt that banks are in the top of the list when it comes to Cryptocurrency enemy’s. I was not very aware that a number of banks in United States and Europe are banning credit card use for purchasing crypto. If certain banks are banning and taking such measures there has to be a reason, but with all information online I guess everyone will have to just take a side on what to believe.
Bank of America has been very outspoken about their feeling on cryptocurrency’s. Last Februarys annual 10-k filling commission about banks operations and business ricks, Bank of America quoted "Clients may choose to conduct business with other market participants who engage in business or offer products in areas we deem speculative or risky, such as cryptocurrencies," the bank said. Such increased competition may "negatively affect our earnings" or affect "the willingness of our clients to do business with us." In addition to stating that these new technologies were going to make financial systems invest in order to evolve with this industry and customer preferences - www.cnbc.com.
This particular bank in other words acknowledges that the financial system is changing and so are the customers preferences, but regardless they still refuse to work with digital currencies like other banks: Citigroup, JP Morgan who are not allowing there customers to use their credit cards to buy cryptocurrencies – www.forbes.com . This shocked me, because … so much for free will. Regardless of what the banks view on how crypto works it can’t ban people on using there products that have been given to them, customers should have the right to decide what they want to spent there money and how much they are willing to buy with credit. Merrill Lynch Wealth Management is a wealth management division of Bank of America and according to CNBC “The firm's Merrill Lynch wealth management arm banned its roughly 17,000 financial advisors from buying bitcoin-related investments for clients”.
For many, cryptocurrencies and the way it works under a Blockchain has several bank institutions worried because this new technology eliminates the third party… so bye bye banks.
Bank of America's chief of operations and technology officer, states that digital currencies are nothing new because we have had this with transferring money, but she says the problem is this is anonymous currency and that were there seems to be an issue, she assures that there is a lack of transparency in this crypto world and that bank do provide that – you can watch the full interview https://youtu.be/EcYwO2rbTSc .
In an Interview for CNBC Bank of America CEO, states that cryptocurrency leads to money laundering, illegal behavior among others – here is the link to the video
I can see why its becoming a big deal for these financial institutions considering how much money is being transferred daily with bitcoin or for that matter the price of one.
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