Revolut has established itself as the leading cryptocurrency-friendly bank in the United Kingdom, according to a report by Recap. Setting itself apart from traditional banks, Revolut allows customers to directly trade cryptocurrencies through its mobile banking app. Moreover, the bank provides educational materials to enhance customers’ understanding of digital assets, making it a standout in the industry.
“Not only do users benefit from a seemingly unlimited exchange limit, but the global neobank is also the only one that permits users to trade through mobile banking apps,” the report highlighted.
Revolut goes beyond just offering cryptocurrency trading. The bank’s customers can also take advantage of the innovative ‘Crypto Learn and Earn’ program. This scheme rewards customers with crypto for completing educational lessons, incentivizing them to expand their knowledge of the crypto space.
While Revolut takes the leading spot, Monzo follows closely behind, offering similar features to its customers. In contrast, traditional banks like HSBC and Natwest have implemented stringent limitations on cryptocurrency purchases. Their customers can only transact within a range of £2,500 to £5,000 per month.
The Clash Between Traditional Banks and Cryptocurrencies
The Recap report sheds light on the challenges faced by individuals when it comes to filing taxes due to restrictive regulations and limited cryptocurrency services. Over the years, the clash between traditional banking institutions and the world of cryptocurrencies has intensified. Banks have taken a risk-averse stance, imposing tighter controls on inbound and outbound cryptocurrency transactions.
“The risk averse approach being taken by UK banks to both the banking of crypto firms and the blanket bans on transactions from account holders to crypto exchanges totally goes against the Government’s well-publicized ambitions for the UK to become a global crypto hub,” commented Su Carpenter, director of operations at CryptoUK.
The restrictive policies of banks, including outright prohibitions on cryptocurrency transactions, have left investors dissatisfied. According to the research, 22% of cryptocurrency investors are considering switching banks, with 38% already having done so due to issues related to trading digital assets.
Embracing Cryptocurrencies: The Rise of Digital Banks and Financial Apps
As traditional banks shy away from cryptocurrencies, digital banks and financial apps are capitalizing on the opportunity. These more progressive institutions are reaping the benefits of embracing digital assets and are attracting customers who value the potential of cryptocurrencies as a path to financial independence.
Meanwhile, the UK government has been actively working towards creating a regulated environment that fosters the growth of the crypto ecosystem while safeguarding users from fraudulent activities. The latest announcement by the National Crime Agency (NCA) to establish a specialized cryptocurrency and virtual assets team demonstrates this commitment. The team will focus on investigating crypto-related crimes, positioning the UK at the forefront of combating illicit activities in the crypto space.
In conclusion, Revolut’s cryptocurrency-friendly approach sets it apart as a leading player in the UK banking industry. Traditional banks, with their restrictive policies and limitations, are losing customers to digital banks and financial apps that are embracing cryptocurrencies. With the UK government actively promoting a regulated crypto environment, the country is poised to become a global crypto hub.
