JP Morgan Chase and Bank of America ban credit card use from crypto acquisitions: Alternatives from Australia and Switzerland

JP Morgan Chase and Bank of America ban credit card use from crypto acquisitions: Alternatives from Australia and Switzerland

Two of the largest American banks have blocked the acquisition of cryptocurrency with credit cards – alternative solutions from Australia and Switzerland

Last week, JPMorgan Chase and Bank of America, the largest banks in the United States, have imposed a ban on the purchase of cryptocurrency with credit cards. Their decision was followed by the group of UK banks Lloyds Group and Citigroup, which imposed a similar measure, noting that they will reassess the measure depending on market developments.

The justification offered was that the volatility of the crypto market would generate a debt increase among customers, argued by price fluctuations in the recent period.

Cryptocurrency have still been available with debit cards or bank transfers.

In opposition to these measures, the four major Australian banks have said they do not intend to introduce any restrictions, as is the choice of how customers use their money.

Also, Australian banks are pressuring the government for adopting legislation for the exchanges of cryptocurrency, bringing them under the supervision of the financial control agency AUSTRAC.

On the other hand, the Bread start-up, a bitcoin wallet launched in 2015 and available in 150 countries, said it would accept the purchase of bitcoin via international credit cards. In co-operation with Simplex, Bread claims he will pay for the same bitter purchases on the same day, as well as high transaction limits (what exchanges do not currently provide).

According to Bread’s statements, the application will provide solutions to the main challenges faced by those who want to buy bitcoin:

– Bread wallet ensures rapid user authentication, avoiding the complicated verification process of current exchanges

– Bitcoin purchase purchased is made on the same day (while the process takes at least a week normally)

– The limits are $ 20,000 per day and $ 50,000 per week.

Although transaction commissions are now very high, Bread’s decision was taken from Robinhood’s launch, the no-commission transaction system, which would generate an increase in investors’ interest in purchases as quickly as possible.

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