Citibank India Bans Customers from Buying Cryptocurrencies
It definitely seems that it has become more like a trend among banks to impose bans on cryptocurrency purchases. However, Citibank India seems to have made an extra step on that direction. The Indian bank has decided to ban all customers from buying cryptocurrencies.
Citibank bans cryptocurrency purchases with credit and debit cards
A series of banks in the US, UK, and even Australia have previously announced intentions to ban customers from buying cryptocurrencies with credit cards, as digital currencies are associated to a lot of risks and could make clients experience losses.
However, in India, Citibank has decided to ban purchases with both credit and debit cards. In this context, it is safe to say that India is not a great place for cryptocurrencies at the moment. The Indian government has been quite vocal about this market and has previously said that it plans to regulate cryptocurrencies and digital assets.
Citibank India made the official announcement on its decision in an email it sent to its customers. The bank claimed that the reason why it decided to impose this ban comes from its concerns of the economic, financial and legal risks associated with cryptocurrencies.
“Given concerns, both globally and locally, including from the Reserve Bank of India, cautioning members of the public regarding the potential economic, financial, operational, legal, customer protection, and security-related risks associated in dealing with bitcoins, cryptocurrencies, and virtual currencies, Citi India has decided to not permit usage of its credit and debit cards towards purchase or trading of such bitcoins, cryptocurrencies and virtual currencies.”
Citibank has imposed a similar ban in the US as well, but there the bank has only banned customers from buying cryptocurrencies with credit cards. It is yet to see if the bank will implement a similar decision in the future in the US as well, meaning if cryptocurrency purchases with debit cards might be banned.
