Speaking to his colossal following on Twitter, the CEO of Coinbase, Brian Armstrong, expressed concern about the rumored closure of accounts at the banking giant, Bank of America, due to their associations with the popular crypto exchange. The rumors began to circulate on the social networking site, leading to Armstrong’s query to his 1.2 million followers – customers of both Bank of America and Coinbase – about whether their accounts had indeed been abruptly closed due to their crypto activities.
In response to Armstrong’s inquiry, approximately 19.3% denied any such incident. However, a striking 9% of respondents claimed the opposite – suggesting that nearly 1,200 people faced account closure at the hands of Bank of America due to their transactions with Coinbase. Of course, these figures solely represent those who responded to the question; many watched from the sidelines, engrossed in the unfolding drama but opting not to vote.
This situation rekindles the long-standing quandary concerning the relationship between traditional banking systems and the nascent digital currency industry. While many crypto enthusiasts see digital assets as a revolutionary step towards decentralization and ultimate financial sovereignty, skeptics and institutional entities view these new financial instruments as a potential threat to the established financial order.
Bringing this issue further into the spotlight, Muneeb Ali, co-creator of the bitcoin layer-2 platform Stacks, claimed that his personal Bank of America account was closed without furnishing any consequential reason. Ali believes that the cause of this abrupt termination is potentially linked to the bitcoin transactions he carried out through Coinbase. In support of his cause and frustration, Ali tweeted, “This is war on bitcoin and crypto. We won’t stay silent…”
In recent weeks, similar stories of sudden account closures have ballooned on Twitter. Interestingly, few individuals reported these closures despite not participating in any crypto transactions. The palpable frustration is mounting among the disgruntled users, most notably due to the lack of clear communication and explanation from the bank.
As the story unfolds, it becomes evident that the crypto industry’s relationship with traditional banking giants like Bank of America remains a complex one – with the weighty question of whether banking protocols should adapt to thrive in this new era of digital assets, or resist the change in favor of traditional financial models. Regardless of where you stand, it’s key to keep abreast of these ongoing developments, as they promise to redefine the financial landscape in the not-so-distant future.
Source: Coindesk
