- Barclays banned UK customers from making card payments to Binance on Monday.
- The bank acted after UK financial watchdog the FCA told the crypto exchange to halt regulated activity.
- Barclays said the move does not impact the ability to withdraw funds from Binance.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
Barclays, one of the top British banks by assets, suspended debit and credit card payments to crypto-trading platform Binance on Monday, citing a notice from the country’s financial services regulator.
Customers received a phone text message from the bank to notify them about the move.
“As you’ve made a payment to Binance this year, we wanted to let you know that we’re stopping payments made by credit/debit card to them until further notice. This is to help keep your money safe,” the message read.
The UK’s financial services regulator on June 26 ordered Binance to halt any regulated operations – effectively, a ban on Binance Markets, its only UK-regulated entity, from offering crypto derivatives. At the time, Binance said the Financial Conduct Authority’s notice had no direct impact on the services it provides via the Binance.com website.
But experts have told Insider it’s just the start of a broader crackdown by regulators, as governments feel emboldened to take on crypto platforms the way they have gone up against Big Tech.
Barclays’ customers immediately took to Twitter to express frustration over the sudden ban, with some threatening to close their accounts.
Barclays told Insider that it would continue to review its position on the length of restriction, but “the safety of our customers’ money will be at the forefront of any decision.”
“This action does not impact on the ability for customers to withdraw funds from Binance,” a spokesperson from the bank said.
Binance said in a tweet on Monday that it was disappointed to learn about some partners taking unilateral action to stop servicing its users “based on what appears to be an inaccurate understanding of events.”