The U.K.’s Crypto and Digital Assets All-Party Parliamentary Group (APPG) is scrutinizing banks that have denied crypto firms access to accounts or imposed limits on crypto-related activity.
U.K. lawmakers have opened a cross-party inquiry to assess how extensively banks may have constrained cryptocurrency businesses by withholding banking services and restricting crypto payments. Launched on Tuesday, the probe aims to determine whether parts of the financial system have effectively blocked the sector’s growth.
The APPG is co-chaired by Ed Vaizey, a former Digital Economy Minister and member of the House of Lords, alongside Labour MP Gurinder Singh Josan, according to an official statement.
Access to banking has long posed a challenge for the crypto industry, with firms and individuals frequently reporting difficulties securing accounts. Similar patterns in the U.S. have been widely described as “Operation Chokepoint 2.0.”
The APPG said several major U.K. banks have also placed curbs on crypto-related payments. As a result, the inquiry will examine the shortage of banking services available to crypto businesses, along with the knock-on effects on related areas such as insurance and professional services.
The group will also investigate how banks enforce restrictions on crypto transactions, including blocking payments to certain firms or setting transfer limits. It aims to assess whether such measures are proportionate and to evaluate their impact on consumers, businesses, innovation, and competition.
“Over several years, the APPG has consistently heard from crypto and digital asset firms about the challenges of accessing banking services, as well as concerns over restrictions on crypto transactions,” Vaizey said.
The APPG has launched a six-week call for evidence, inviting submissions from stakeholders across banking, payments, fintech, and crypto sectors. Its findings will be compiled into a report with recommendations for the government.
