Cryptocurrency adoption continues to accelerate globally, yet traditional banking institutions in both the United Kingdom and United States maintain fragmented and often restrictive policies toward crypto-related transactions, creating a significant operational disconnect. Recent analysis reveals a wide spectrum of approaches among major financial institutions, from outright blocks to strict transaction limits.
In the United Kingdom, the landscape is particularly divided. Revolut and the Lloyds Banking Group (including Halifax and Bank of Scotland) permit cryptocurrency transactions via both bank transfers and debit card purchases. However, many other major providers impose significant constraints. Barclays and HSBC UK enforce limits of £2,500 per transaction and £10,000 within a 30-day period. Nationwide applies a daily cap of £5,000, while NatWest and Santander implement even tighter monthly thresholds.
Several prominent UK banks have chosen to block crypto transactions entirely. Virgin Money, Metro Bank, Starling Bank, TSB, and Chase UK prohibit all crypto-related payments through both bank transfers and debit cards. Wise adopts a hybrid approach, blocking bank transfers to crypto platforms but still allowing purchases via debit cards. This pattern indicates that access, where it exists, is often throttled by internal risk management protocols rather than being fully integrated into banking services.
The situation in the United States reflects a different but related constraint, characterized by limited service availability rather than outright retail payment blocks. Among the top 25 U.S. banks, Bitcoin trading and custody services remain scarce. JPMorgan Chase has announced trading support but does not yet offer custody solutions. Citigroup is reportedly exploring custody offerings. Several other major institutions, including Wells Fargo, Goldman Sachs, and Morgan Stanley, restrict crypto trading access exclusively to their high-net-worth or wealth management clients, leaving general retail access severely constrained.
This creates a clear structural gap. Cryptocurrency markets operate 24/7 on a global scale, spot Bitcoin ETFs are now live, and the tokenization of real-world assets is expanding rapidly. Despite this progress, mainstream banking infrastructure remains hesitant, limited, or completely closed. Banks frequently cite concerns over fraud risk, regulatory ambiguity, and consumer protection as justifications for their restrictive stances.
However, these restrictions also highlight a fundamental operational lag. Traditional banking systems were not designed for decentralized, always-on digital assets, and their integration has proven to be slower than market adoption. As institutional capital increases its exposure to digital assets through ETFs and other vehicles, the friction between legacy banking rails and the crypto ecosystem becomes increasingly visible and problematic for end-users.
