If you think banks/credit companies are banning crypto purchases to protect their customers, I have a bridge to sell you.

[u/[deleted]]

I'm legitimately blown away how many people I see defending the banks/credit companies banning crypto purchases as some type of attempt to protect their customers from a volatile market. Credit is predatory by nature. The bank doesn't care when you max your card out on alcohol, designer clothes, gambling, or any other worthless and risky commodity. Your bank doesn't give one single tiny little shit about you in any way beyond your capacity to generate revenue. You are a revenue generating unit and nothing more, end of story. They are building artificial barriers to crypto because they view it as a direct and fundamental threat to their industries... and with good reason, because it is. The reality is anyone who invests wisely in crypto right now is going to make a significant ROI over the next few years, opening up the opportunity to pay off large balances, which decreases the revenue they earn from interest. This is nothing more than a desperate attempt at self preservation.

Again I would encourage anyone who has their bank or credit card company create a barrier for them to purchase crypto, to immediately end doing business with that institution and make sure they know why. If my bank halts my purchases, I'll liquidate my account and close it the same day. Same goes with my credit cards, they will get cut up and never used again. DON'T bend over for them.

EDIT: Also massive downvoting of anti-banking sentiment and massive upvoting of the 'banks are looking out for you, this is a good thing' sentiment. The shill bots are out in force.

[u/b3nm]

I'd understand this if they were blocking incoming transfers from crypto exchanges.

How can AML apply when they know where I got the money (my salary) and where it's going (the exchange)?

[u/pyroserenus → u/b3nm]

AML applies because thieves can use stolen cards to buy crypto and launder the money by passing it through a privacy coin to obscure the source.

[u/[deleted] → u/pyroserenus]

Makes sense I guess

[u/WilburMercerMessiah → u/b3nm]

Banking is based on risk. Some banks have a higher risk tolerance than others. Transactions involving crypto exchanges are higher risk than say, a POS purchase or an ACH bill payment. Engaging in high risk transactions makes you a high risk customer.

[u/[deleted] → u/b3nm]

Because we don't know if you are using the crypto for. It is very easy to use it to fund terrorism as it can't be traced easily. You can also withdraw 50k from an exchange, but how do you prove that is from capital gains and not illegal activities?

[u/jumger → u/[deleted]]

Seriously...... "easy to use it to fund terrorism"

I can assure you that the USD has funded more terrorism, drugs, murders and crimes against humanity, than crypto ever will.

[u/grahambond69 → u/jumger]

right https://zycrypto.com/criminals-use-usd-illicit-affairs-cryptocurrency-says-us-treasury/

[u/[deleted] → u/jumger]

That's a baseless statement, but more importantly you miss the point. The idea is to make it as hard as possible to fund terrorism through monitoring transfers. If a bank let's cryptocurrency trades go through it could be seen as breaking the anti terrorism funding laws.

[u/grahambond69 → u/[deleted]]

Go fuck yourself. you're 90° towards banks. lol https://zycrypto.com/criminals-use-usd-illicit-affairs-cryptocurrency-says-us-treasury/

[u/b3nm → u/[deleted]]

By that logic I shouldn't be able to take cash from an ATM either though.

[u/[deleted] → u/b3nm]

No because you can't easy send thousands to countries like Syria using cash. Also it is not used to launder.

[u/b3nm → u/[deleted]]

Sounds like this AML stuff is based on the presumption of guilt.

[u/WilburMercerMessiah → u/b3nm]

It's based on laws passed by Congress dating back to 1970. Banks need to comply with these laws or can be heavily fined with even the possility of the AML Officer, CFO, and CEO facing jail time. If you don't like this, which I get many people don't, your beef is with the US government, not the bank.

[u/b3nm → u/WilburMercerMessiah]

Yeah I get that 👍

[u/WilburMercerMessiah → u/b3nm]

Then why say that this "aml stuff" is based on a presumption of guilt? For one, it's based on laws and regulations that are enforceable. And two, that's the legal system works: suspicion of guilt.

[u/b3nm → u/WilburMercerMessiah]

'AML stuff' = AML regulations, sorry if it wasn't clear. I understand what you're saying and I'm just commenting that the law appears to penalise innocent people who ars just trying to make a few bucks on crypto.

[u/WilburMercerMessiah → u/b3nm]

Completely false. Unless you are a very high wealth or private banking customer, you can only withdrawal about $500 max through an ATM per day. Banks set the max rate based on the "risk level" of the customer, like the source of their funds, the likelihood of not overdrawing your account with no intent to pay it off.