- Stacks co-founder Muneeb Ali introduced that Financial institution of America has closed his account.
- Ali speculates that the shutdown is because of his Bitcoin transactions on Coinbase.
- Coinbase CEO Brian Armstrong requested the general public about related experiences, with many accusing the platform of doing the identical.
Muneeb Ali, co-founder of Stacks and CEO of Belief Machines, took to social media to air his grievances after Financial institution of America (BoA) closed his account. This led him to invest that the motion was associated to his use of the account for Bitcoin transactions on Coinbase.
Brian Armstrong, co-founder and CEO of Coinbase, reacted to Ali’s tweet and requested the viewers if anybody had encountered the identical downside earlier than. This prompted a flurry of responses, with many expressing their displeasure and mistrust of the BoA.
One consumer stated, “I’d by no means use BoA.” One other referred to the financial institution and warned: “We advised you they might come for everybody. And they’ll. In the meantime, one consumer prompt that the explanation the BoA is closing accounts for utilizing crypto is as a result of “Financial institution of America is fearful of it (crypto).”
A number of the feedback attacked Armstrong and accused Coinbase of doing the identical. One consumer stated, “You banned my Coinbase account in 2017 and gave no purpose. I am undecided you are the speaking sort. One other added: “Coinbase does the very same factor.”
The battle between conventional banks and the cryptocurrency world has been occurring for some time. Jamie Dimon, CEO of JP Morgan, the primary financial institution in line with Forbes, referred to as bitcoin a fraud. He additionally stated, “I am a significant skeptic of crypto tokens, which you name cash, like Bitcoin… They’re decentralized Ponzi schemes.”
Nonetheless, later, JP Morgan launched its digital coin, turning into the primary US financial institution to create a cryptocurrency. The coin runs on a permissioned blockchain, which has restricted decentralization and provides a layer of management.
Brian Moynihan, CEO of BoA, has acknowledged his opinion on the crypto. He stated in an interview when requested about cryptocurrency: “It needs to be regulated the identical means, and the thought of ’I will do it with know-how, do it (otherwise) “by no means made sense.” He additionally added, “If companies are to conduct enterprise, take clients’ cash and do issues with it, they should be totally regulated.”
