Reply to post: Re: The banks don't like bitcoin.

Lloyds Bank bans Bitcoin purchases by credit card customers

Anonymous Coward
Anonymous Coward

Re: The banks don't like bitcoin.

There's such a tiny portion of money in bitcoin compared to the banking system it is a rounding error on a rounding error on a rounding error. Attributing it to conspiracy theory is ridiculous. Bitcoin is used in criminal transactions and money laundering. Not all certainly but to a large enough degree that this makes sense.

If enough criminals were laundering money by using credit cards to buy iPhones, banks would consider banning the purchase of iPhones with credit. They probably are getting pressure from government over some cases involving this and they've been forced to act, and are using the fall in price of bitcoin as an excuse. That's an obvious red herring, as most things you buy with a credit card either lose value over time or have no value at all by the time you pay for them.

If no one was forcing them they'd be happy to keep taking the transaction fee on each purchase. They already have a process for raising transaction fees for certain types of purchases where fraud is more likely so they could crank it up as high as they needed to account for that.

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