Barclays stuns credit card users with startling June 27 crackdown

Barclays stuns credit card users with startling June 27 crackdown originally appeared on TheStreet.

Beginning June 27, the banking giant Barclays is going to block all crypto purchases made with credit cards.

A note on the U.K. bank's official website mentions that users won't be able to make crypto transactions with a Barclaycard.

There are certain risks related to cryptocurrencies as the sudden decline in the prices of crypto assets could lead to customers falling into debt and failing to repay borrowed funds, the bank said.

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It also cited a lack of protection for crypto assets in case a purchase goes wrong as the reason behind the latest move. Crypto is not covered by the Financial Ombudsman Service and Financial Services Compensation Scheme, the bank said.

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Unlike the U.S. where traditional institutions such as Wall Street banks are embracing crypto, the U.K. has seen a stricter approach to crypto trading and investing.

Back in 2018, Britain's biggest bank, Lloyds, imposed a similar ban on crypto purchases made with credit cards. JPMorgan's British retail bank, Chase, similarly banned such purchases in 2023, citing a hike in crypto scams and frauds.

Now, another leading bank in the U.K. has taken the same step. However, the concerns of the banks regarding crypto aren't unfounded.

The total crypto market cap fell as much as 25% year-to-date around early April as President Donald Trump introduced global tariff hikes. Though the market has since recovered to early January levels to stand at $3.28 trillion, it reflects the general volatility associated with crypto markets.

However, the proponents of crypto adoption argue volatility isn't unique to crypto assets, as nearly all the assets that banks deal with also witness volatile price movements.

While banks cite volatility and consumer protection as reasons for restricting crypto access, those holding crypto are increasingly turning to secure self-custody solutions such as Ledger’s hardware wallets to safeguard their digital assets without relying on traditional financial intermediaries.

Barclays stuns credit card users with startling June 27 crackdown first appeared on TheStreet on Jun 25, 2025

This story was originally reported by TheStreet on Jun 25, 2025, where it first appeared.