JPMorgan, Bank of America Say No to Crypto Transactions on Credit Cards

The top two US banks took what little wind was left in investors’ sails today. JPMorgan Chase and Bank of America have both placed a ban on cryptocurrency transactions via credit cards, according to Bloomberg reports. The bitcoin price is holding at about a 5.75% decline, trading at $8,589 in what is shaping up to be a rocky 2018 for cryptocurrency trading so far.

JPMorgan, whose CEO Jamie Dimon famously denounced bitcoin a few months back, doesn’t want to inherit the credit risk given the volatility in the bitcoin price. By speculating on the price of a highly volatile investment like bitcoin, investors are exposing the bank to a higher risk of default, a scenario that may not have been present when the credit was extended in the first place. Meanwhile, banks and regulators are working in tandem to detect signs of fraud, and taking credit cards out of the equation simplifies things somewhat.

https://www.ccn.com/jpmorgan-bank-america-say-no-crypto-transactions-credit-cards/