Wells Fargo bans Credit card based Cryptocurrency purchases

Wells Fargo Ltd joins the league J.P Morgan, Bank of America and Citi Bank, to disallow cryptocurrency purchases through Credit card. The reason cited for the above mentioned ban is credit risk and market volatility.

Wells Fargo “will continue to evaluate the issue as the market evolves,” Shelley Miller, a spokeswoman, said in an emailed statement to Bloomberg.

A study conducted by LendEDU last year found that roughly 18 percent of Bitcoin investors used a credit card to fund the purchases. Of those, 22 percent couldn’t pay off their balance after buying the digital coin.

The ban takes place immediately. Wells Fargo customers can still purchase cryptocurrency through their debit card.

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