Citibank India is the most recent primary financial institution to prohibit its consumers from the usage of bank cards for buying cryptocurrencies, but it surely has taken the measure one step additional by means of banning the usage of debit playing cards for crypto purchases as neatly, Quartz India experiences these days, Feb. 14.
Quartz India wrote these days that it in my view reviewed an electronic mail from Citibank India despatched to consumers on Feb. 13 that stated the next:
“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 India is a subsidiary of Citigroup, which is a multinational funding banking and fiscal services and products company that had banned all bank card purchases of crypto remaining week. Citigroup’s ban got here along that of J.P. Morgan Chase and Bank of America, and used to be adopted by means of bank card bans by means of each Lloyds Banking Group and Virgin Money.
The Indian executive has been indecisive about its stance on Bitcoin (BTC) and different cryptocurrencies. The Minister of Finance calling Bitcoin a “Ponzi scheme” in Dec. 2017, however Indian banks additionally appearing undoubtedly against Blockchain generation.
In mid-January, many Indian banks suspended or closed the accounts of crypto exchanges, mentioning a chance for “dubious transactions”. On Feb. 1, misinterpretation of the Indian Finance Minister’s regulatory feedback as a complete crypto ban introduced crypto markets down globally.