HSBC says it has no ‘appetite’ for crypto or Coinbase stocks

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The direct listing of cryptocurrency giant Coinbase caused an undeniable frenzy in the market; there are some who are not in the mix and don’t want anything to do with the craze the crypto giant has created.

Some experts believe that a number of banks in the United Kingdom will be avoiding the Coinbase COIN stock because they have worries about the role of cryptocurrencies in money laundering and related criminal activities.

Whether or not this development is enough to dampen what has been regarded as a huge success for Coinbase remains to be seen, and stakeholders are keenly watching.

HSBC Remains Firm on Position Regarding Cryptocurrencies

If there is one very good example of the mentioned, it will be HSBC, which has been very vocal about its position for quite some time now.

As a matter of fact, HSBC Corporate Media Relations Manager Ankit Patel said that their bank has no appetite for exposure to virtual currencies and has little interest in facilitating products or securities that have their value revolve around the same. The official stressed that this is not a new policy.

HSBC has made headlines in the past because it has banned customers from acquiring shares in MicroStrategy, a company that has large amounts of Bitcoin (BTC) on its balance sheets.

Cold Feet Chain Goes On

It would seem that the feeling goes on and expands beyond the COIN stocks.

British banks also have cold feet in dealing with shares of listed crypto firms. For instance, in a roadshow for the initial public offering of mobile Bitcoin app Mode, HSBC and Barclays said they will not allow the company’s shares on their platforms.

Without elaborating, the reason was simply because of the crypto element of the shares, according to a source with knowledge of the matter.

Image courtesy of Bloomberg Markets and Finance/YouTube Screenshot

Jet Encila

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Jet Encila

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