Over 50% of top British banks facilitate crypto transactions
Crypto assets are benefiting from the United Kingdom government's lenient stance on digital currency ownership, usage, and trading.
In contrast to countries such as Algeria, Bangladesh, Bolivia, Egypt, Indonesia, and Ghana, where virtual currency is prohibited, the United Kingdom has left the door open for the volatile asset class.
The study's findings are timely, as the United Kingdom is currently working to create a crypto regulatory environment with the goal of making the country a digital asset hotspot.
Most importantly, the number of investors who have entered the market through cryptocurrency exchanges has increased in the country.
Businesses that deal with digital tokens must now register with the Financial Conduct Authority and obtain approval (FCA).
This is primarily to ensure that anti-money laundering regulations are strictly adhered to and followed by companies involved with these asset types.
Banks in the country appear to be accommodating of virtual currencies, as the majority of them allow their customers to transact with exchange platforms. A recent Finder study involving 17 major UK banks discovered that only 47% of the participating financial institutions do not have policies that allow their customers to interact with platforms such as cryptocurrency exchanges.
In particular, seven of the surveyed banks, including Halifax, HSBC, TSB, and The Co-operative Bank, cited security concerns in prohibiting the use of their credit and debit cards for transfers or purchases made on cryptocurrency exchange platforms.
The vast majority (53%) of these British financial institutions came out on the other side of the equation, with only four of them being crypto-friendly.
Except for Binance, which has been banned in the UK, digital-only banks such as Revolut, Monzo, and Starling are among the major lenders that allow customers to make transfers and withdrawals from exchanges.
Adoption of cryptocurrency in the United Kingdom
With this development involving major banks in the country, better levels of bitcoin adoption may be on the way for the UK, which currently ranks 22nd out of 26 countries in that category.
According to the most recent Finder data, 4.1 million Britons own digital currency, with 33% owning Bitcoin, the largest digital currency in terms of market capitalization.
It's no longer surprising that Bitcoin, despite its struggles to reclaim higher trading prices, remains the leader in the virtual fiat space.
According to Coingecko tracking, Bitcoin is changing hands at R352K at press time, bringing its seven-day loss to just 1.4%.
The UK's crypto ownership rate of 8% is significantly lower than the global average of 15%. With 29% ownership, India leads the race in this area.
Ethereum, meme cryptocurrency Dogecoin and Cardano are two of the most popular cryptocurrencies in the country, where men own 72% of the asset class compared to 28% for women.
