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05-Feb-2018<br />

Lloyds Banking Group bans credit card purchases of Bitcoin<br />

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The move comes amid fears that investors speculating on the volatile market could face<br />

huge losses.<br />

Bitcoin surged in value during in 2017, starting the year at around $900 and topping $20,000<br />

in December.<br />

But it has since tumbled sharply, dipping below $8,000 on Friday on worries about a global<br />

regulatory clampdown.<br />

In the UK, Theresa May has said Britain should take a serious look at digital currencies such<br />

as Bitcoin because of the way they can be used by criminals.<br />

Lloyds Banking Group has now taken action on fears that some credit card customers are<br />

gambling on making big profits on cryptocurrencies and overlooking the fact they will be<br />

laden with debt if the price falls, the Daily Telegraph reported.<br />

Customers will still be able to buy digital currencies with debit cards, it said.<br />

The banking group said: “Across Lloyds Bank, Bank of Scotland, Halifax and MBNA, we do<br />

not accept credit card transactions involving the purchase of cryptocurrencies.”<br />

Its move follows warnings by regulators and ministers in the US, South Korea, China,<br />

Russia, India, Germany and France over the market.<br />

Meanwhile, Facebook recently banned adverts for Bitcoin and other cryptocurrencies on its<br />

sites after criticism from users about scams and hoaxes being promoted in their <strong>news</strong>feeds.

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