UK Lawmakers Sound Alarm on Bank Crypto Service Denials Threatening Industry Growth

UK lawmakers have expressed concern that banks' refusal to provide financial services to cryptocurrency firms could hinder industry growth.

The All-Party Parliamentary Group (APPG) wrote a letter to major UK bank executives, demanding clear explanations for rejected account openings and transfer restrictions.

Banks often cite regulatory uncertainty, anti-money laundering (AML) requirements, and reputational risks as reasons for denying or restricting banking services to crypto businesses.

The APPG argues that such blanket measures are disproportionate and harm legitimate businesses.