Coinbase Loses Barclays Banking Services
Barclays reportedly ends its relationship after less than 20 months.
Coinbase, one of the world’s largest cryptocurrency exchanges, is looking for a new provider of banking services.
Coindesk reported Wednesday that Barclays cut ties with the firm. Their relationship lasted less than 20 months, according to sources cited on the matter.
Though neither party responded to questions, reports assume Barclays ended the deal. The two firms engaged in a partnership that allowed users to purchase cryptocurrency in pounds.
Reuters called the two firms’ agreement – which began in March 2018 – “rare.” That month, Coinbase’s chief executive in the U.K. said the deal faced delays. According to Reuters, Barclays’ had concerns about Coinbase’s protection systems against money laundering.
Coinbase and Other Exchanges Face Increased Scrutiny in U.K.
Barclays‘ isn’t alone when it comes to concerns about cryptocurrency exchanges and their security.
Roughly 75% of cryptocurrency firms in the United Kingdom obtain banking services outside of the country. That figure is according to a May and June survey by CryptoUK of more than 40 U.K.-based crypto businesses.
That same report shows that 55% of crypto firms active in the U.K.. have applied for accounts and faced rejection. These institutions reported opening accounts in 15 different jurisdictions, including Switzerland, the United States, and competing EU member states.
Latest Alternative Investment News
Stilt provides loans and financial services to immigrants and people underserved by the banking system. The five-year old startup announced Wednesday its raise of $100 million as a warehouse lending…
Researchers at the University of Alberta developed an AI tool for predicting schizophrenia from brain scans of healthy close relatives (such as children or siblings) of persons suffering from the…
The numbers are out for the Wave BTC Income & Growth Digital Fund’s first full year of trading, and they’re impressive. The fund scored a 145.8% annual gain for its…
Infinity Maritime aims to provide a sustainable solution for maritime finance by digitizing ship portfolios on its platform. This enables fractional ownership, secondary trading in ships, and the financing of…