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Five Major Credit Cards Are Now Blocking Cryptocurrency Purchases (cnbc.com)
An anonymous reader quotes CNBC:
J.P. Morgan Chase, Bank of America and Citigroup said Friday they are no longer allowing customers to buy cryptocurrencies using credit cards. "At this time, we are not processing cryptocurrency purchases using credit cards, due to the volatility and risk involved," a J.P. Morgan Chase spokesperson said in a statement to CNBC. "We will review the issue as the market evolves."
A Bank of America spokesperson also said in an email that the bank has decided to decline credit card purchases of cryptocurrencies. Citigroup said in a statement that it has "made the decision to no longer permit credit card purchases of cryptocurrency. We will continue to review our policy as this market evolves." Earlier in January, Capital One Financial said it has decided to ban cryptocurrency purchases with its cards. Discover Financial Services has effectively prohibited cryptocurrency purchases with its credit cards since 2015.
A Bank of America spokesperson also said in an email that the bank has decided to decline credit card purchases of cryptocurrencies. Citigroup said in a statement that it has "made the decision to no longer permit credit card purchases of cryptocurrency. We will continue to review our policy as this market evolves." Earlier in January, Capital One Financial said it has decided to ban cryptocurrency purchases with its cards. Discover Financial Services has effectively prohibited cryptocurrency purchases with its credit cards since 2015.
How is a credit account "your money"? A debit card is your money - it pulls from your own bank account. But a credit card pulls from the bank's account, and you just have a promise to pay it back sometime in the future. They are not telling you what you can do with your money, but telling you want you can do with their money.
Browsing at +1 - no ACs, I ignore their posts. So refreshing!
Bitcoin is utterly worthless at performing the kinds of transactions that people want to make day-to-day. The only thing these banks are afraid of is people doing a chargeback when their exchange goes belly up and they are left holding the bag. Which would then leave the card company holding the bag - which is not a position they like to be in.
Since they bear the brunt of things going wrong with the transaction, they've decided they don't want to get involved.
Like someone else said: if you've got the money, just use your debit card. Your bank won't care because it's not them that's losing the money if things go wrong.
A thousand pounds of wood moving at 300 feet per minute. Don't get in the way.