On June 11, Fortune reported that the San-Francisco Bank will no longer allow its customers to purchase crypto currency using their credit cards announced by Wells Fargo.
The third largest Bank of US by assets, Wells Fargo, in US alleged that from now on, bank will not allow its customers to purchase digital currency on their credit cards issued by the financial institution. The spokesperson of Bank said that the decision was made in order to avoid multiple risks from investing in crypto currency.
The spokesperson says, “Customers can no longer use their Wells Fargo credit cards to purchase crypto currency. We’re doing this in order to be consistent across the Wells Fargo enterprise due to the multiple risks associated with this volatile investment. This decision is in line with the overall industry.”
However, the spokesperson added that the bank will continue to evaluate the issue as the market evolves.
By saying this, Wells Fargo joins a gesture of financial institutions banning the purchase of crypto currency with their credit cards. The three financial giant, J.P. Morgan Chase, Bank of America, and Citigroup have already announced in February that they would no longer allow the purchase of crypto currency.
At the end, J.P. Morgan Chase said that the financial institution, will no longer face risk that payment processing and other services could be disrupted by technologies, such as crypto currencies.
The buying of crypto with credit cards is growing globally as the number of users is increasing day by day.
One of the largest banks of North America, the Toronto-Dominion Bank (TD) in Canada announced in an E-mail statement that the bank will not allow any transaction through credit card on crypto currency, as the banks are taking certain measures in order to serve and protect their customers, as well as the bank.
The largest private bank of India, HDFC Bank has informed its clients that they are not suppose to use its debit and credit cards as it cannot be used to purchase crypto currency in order to protect customers.
UK bank, Lloyds Banking Group and Virgin Money, which is present in Australia, South Africa and the UK are the largest bank of world who are supporting the restrictive measures.