Bank of America Allegedly Cracks Down on Coinbase Users

• Bank of America is allegedly cracking down on Coinbase users by closing their personal accounts.
• The development comes after the SEC filed a lawsuit against Coinbase and other crypto players.
• Coinbase CEO Brian Armstrong launched a poll to investigate if the Bank was really cracking down on its customers trading in Bitcoin (BTC).

Bank of America Allegedly Cracking Down on Coinbase Users

Recent allegations suggest that the Bank of America has closed the personal accounts of those trading in crypto on the exchange, following the US Securities and Exchange Commission (SEC) filing a lawsuit against major crypto players Binance (BNB) and Coinbase (NASDAQ: COIN).

Muneeb Ali’s Account Closed After 15 Years

Muneeb Ali, co-founder of layer 2 blockchain firm Stacks (STX), claimed that after using his account for Bitcoin (BTC) transactions with Coinbase, his checking and savings account were closed by BOA without any explanation. However, they did mention that his “risk profile no longer meets their standards” when they suspended his credit card account.

Coinbase CEO Launches Poll to Investigate

Alarmed at this development, Coinbase CEO Brian Armstrong took to Twitter to find out if these allegations are true. He asked his followers if anyone else has had a similar experience through a poll. According to the results from 12,000 participants so far, 9.1% said their accounts were also closed while 19.1% said they did not have such an experience.

Not The First Time For BOA

This is not the first time that Bank of America is taking such action as it has tried doing something similar before by shutting down people’s accounts for cryptocurrency related activities or because they were deemed risky .

Conclusion

The alleged crackdown by Bank of America further raises concerns about crypto adoption as well as how traditional financial institutions will react to digital assets in general . Although it remains unclear why BOA would be taking such steps , it might be due to regulatory pressure or simply because cryptocurrencies are considered too risky for banks .