HSBC, a major bank in the United Kingdom and throughout the globe, limits payments to cryptocurrency exchanges to £2,500 per transaction and £10,000 per month.
In the wake of widespread outcry over the controversial decision to close Nigel Farage’s bank account, HSBC is among the first British banks to take this action.
Many public figures, including Prime Minister Rishi Sunak, have argued that banks should operate purely from a business perspective when deciding whether or not to terminate an account.
Cryptocurrency is not only legal in the United Kingdom (UK), but Sunak plans to make the islands a centre for the industry. HSBC is also ‘entering’ the metaverse and exploring opportunities in the cryptocurrency market.
This approach is at odds with the bank’s warning to consumers that “cryptocurrency fraud is on the increase.” In relative terms, it has declined since the bank’s inception, yet HSBC itself has a long history of fraudulent activity.
A whistleblower allegedly leaked details of £700 million held in HSBC accounts in the Crown dependency of Jersey in November 2012, prompting HM Revenue and Customs to launch an investigation into allegations that the bank had opened offshore accounts there on behalf of suspected drug dealers and other criminals.
According to the FinCEN Files published in 2020, HSBC kept on doing business with suspected criminals and corrupt businesses, including the Waked Family firm Viva Panama, which received $292 million from 2010 to 2016.
Claims that HSBC mis-sold Residential mortgage-backed securities between 2005 and 2007 resulted in a $765 million settlement for the bank in 2018.
Finally, they backed China’s national security statute that severely restricts freedom of expression in Hong Kong.
This financial institution has no right to preach morality over a perfectly lawful market. It also lacks the authority to engage in unlawful anti-competitive behaviour.
One of the primary reasons why cryptocurrencies are popular in Britain is because of the banks’ abusive practices. Some corrupt bank that launders money, manipulates currencies, defrauds consumers, and backed dictators should stay out of the business of their clients.
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