UK Banks: Bitcoin Can Fund Terrorists, Destabilize Sterling
The British Bankers Association (BBA) has warned about Bitcoin’s anonymity and its potential effects on the UK financial system.
In a joint submission with the Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Council to the Treasury’s consultation on the benefits and threats of digital currencies, the BBA voiced concern over how such currencies can be used anonymously. As banks, they are "unclear on their responsibilities with regards to servicing those working with, paying or receiving digital currencies.”
Their comments echo a sentiment held in other countries, where risk averse institutions have occasionally shut down the accounts of both Bitcoin businesses as well as users.
The Treasury launched the consultation in early November to gather views on digital currency to help shape future Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( .
The submission also noted that should "convertible" currencies reach mass adoption in the UK, they can potentially destabilize the sterling. A number of governments, including that of Switzerland, have previously assessed that Bitcoin and other virtual currencies are highly unlikely to impact their currencies.
The banks' sentiment contrasts with that of Finance Minister George Osborne who, last August, expressed cautious support for Bitcoin during remarks on strengthening London's position in financial innovation.
The British Bankers Association (BBA) has warned about Bitcoin’s anonymity and its potential effects on the UK financial system.
In a joint submission with the Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Council to the Treasury’s consultation on the benefits and threats of digital currencies, the BBA voiced concern over how such currencies can be used anonymously. As banks, they are "unclear on their responsibilities with regards to servicing those working with, paying or receiving digital currencies.”
Their comments echo a sentiment held in other countries, where risk averse institutions have occasionally shut down the accounts of both Bitcoin businesses as well as users.
The Treasury launched the consultation in early November to gather views on digital currency to help shape future Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( .
The submission also noted that should "convertible" currencies reach mass adoption in the UK, they can potentially destabilize the sterling. A number of governments, including that of Switzerland, have previously assessed that Bitcoin and other virtual currencies are highly unlikely to impact their currencies.
The banks' sentiment contrasts with that of Finance Minister George Osborne who, last August, expressed cautious support for Bitcoin during remarks on strengthening London's position in financial innovation.