Brian Armstrong, the CEO of Coinbase, one of the largest and most well-known cryptocurrency exchanges, made a noteworthy statement. He criticized Chase UK, a subsidiary of the famous asset management company JPMorgan, for imposing restrictions on transactions related to crypto assets. While Coinbase continues its expansion in the United Kingdom, it is also battling allegations of securities violations in the United States.
In a statement he made on social media platform X on September 26, Armstrong criticized Chase Bank for restricting the banking activities of its UK customers related to crypto asset transactions. According to the decision, customers are now restricted from making any bank card transactions or bank transfers related to the crypto sector.
In his statement, CEO Armstrong called on UK Prime Minister Rishi Sunak and UK Chancellor of the Exchequer Andrew Griffith, among others, to take action. He highlighted the issue of whether Chase UK’s actions align with the country’s policy objectives and continued his words as follows:
“Crypto owners in the UK should close their accounts if they are going to be treated this way.”
Following these remarks, Armstrong also expressed his hope that Chase UK’s decision could be changed after authorities examine the situation:
“I truly hope that there is more to this story than meets the eye and that it does not truly reflect Chase UK’s genuine opinion.”
The target of these criticisms, Chase UK, officially confirmed on September 26 that it had decided to ban its customers from engaging in any transactions related to the crypto market, citing a high level of fraudulent activities in the crypto market. The bank stated the following in its announcement:
“Customers will receive a notification of a rejected transaction if they attempt to make a transaction related to crypto.”
Despite all these developments, Coinbase continues to expand its operations. According to its official website, the exchange is supported in many countries, including the UK, the US, Europe, and Canada. Coinbase is actively pursuing its expansion goals in the United Kingdom. In April 2023, the exchange announced that the team was working diligently on legal regulations, especially in the UK and Europe.
With the recent developments, the situation for Coinbase is not very promising. While facing regulatory issues in the UK and Europe, Coinbase has also encountered numerous problems in its own country. In June 2023, the SEC filed a lawsuit against the exchange, alleging violations of securities laws.