ConsumerProtection

Barclays bans crypto purchases with credit cards from June 27, 2025. 
Volatility and lack of regulatory protection drive the decision. UK investors can still use debit cards or bank transfers for crypto. Other banks like Lloyds also restrict crypto transactions. Fintech platforms may see increased demand for crypto access.
Barclays Bank will block all crypto transactions made with its credit cards, including Barclaycard, starting June 27, 2025. The decision aims to shield customers from financial risks tied to the volatile cryptocurrency market.
The bank stated on its website that a sharp decline in crypto prices could leave customers with unmanageable debt. Unlike traditional investments, digital assets lack protection from the Financial Ombudsman Service or the Financial Services Compensation Scheme.
Why Barclays Imposed the Ban
Barclays cited the high volatility of cryptocurrencies as a primary concern. Price swings can lead to significant losses, especially for customers using credit to invest.
The bank emphasized consumer safety, noting that crypto purchases carry unique risks. Without regulatory safeguards, customers have limited recourse if transactions fail or assets lose value.
This move aligns with the UK Financial Conduct Authority’s efforts to curb fraud and financial instability linked to speculative crypto investments. Barclays directed customers to the FCA’s website for guidance on digital asset risks.
Impact on UK Crypto Investors
The ban restricts UK retail investors from using Barclays credit cards to buy cryptocurrencies like Bitcoin or Ethereum. This could reduce impulsive purchases but may push investors toward alternative payment methods.
Debit cards and bank transfers remain viable options for Barclays customers. Platforms like eToro, registered with the FCA, allow GBP deposits for crypto trading. Services such as Revolut also offer in-app crypto purchases.
Other UK banks, including Lloyds and NatWest, have imposed similar restrictions. Around 47% of major UK banks limit or block crypto-related transactions, citing fraud and money laundering concerns.
Industry reactions vary. Some argue the ban limits consumer freedom, equating crypto investments to gambling. Others view it as a prudent step to protect inexperienced investors from high-risk markets.
Barclays’ decision follows its earlier restrictions, such as blocking payments to Binance in 2021. Despite the ban, the bank holds a $131 million stake in BlackRock’s iShares Bitcoin Trust, highlighting a contrast between institutional and retail access to crypto.
The policy may drive demand for fintech solutions. Digital wallets and account-to-account payments via open banking could gain traction as investors seek crypto-friendly alternatives.

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The GENIUS Act, recently reintroduced in the U.S. Senate agenda, represents a significant advance in the regulation of stablecoins, especially those linked to the U.S. dollar. After a very close initial vote (49-48), the project has been modified to incorporate stricter measures for preventing money laundering, national security, consumer protection, and financial stability, which has allowed it to gain the necessary support for formal discussion.