UK banks are tightening the screws on crypto users — and the impact is getting hard to ignore.
According to a new industry survey of cryptocurrency exchanges, around 40% of crypto-related payments in the UK are now being blocked. Even more concerning, 80% of platforms report a sharp increase in customer payment disruptions over the past year.
The numbers tell a serious story. An estimated £1 billion worth of crypto transactions have been rejected, leaving users frustrated and exchanges scrambling for alternatives. For many traders and investors, basic actions like funding accounts or moving money have become unpredictable.
This growing resistance from traditional banks highlights the widening gap between legacy finance and the crypto economy. While digital assets continue to gain adoption, UK banking institutions appear to be increasing restrictions rather than easing them.
For the market, this raises big questions:
Will tighter banking controls push users toward decentralized solutions — or slow mainstream crypto adoption in the UK altogether?
One thing is clear: the crypto–banking relationship in the UK is entering a more hostile phase, and the effects are already being felt on the ground.
