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Does Monzo Allow Binance?
Challenger bank Monzo is well-known as a crypto-friendly bank in the UK but it currently doesn’t currently support customers using the Binance cryptocurrency exchange.
It has joined nearly every other UK bank in pausing transfers to and from the crypto giant due to regulatory concerns voiced by the Financial Conduct Authority (FCA).
It’s website states: “Following the FCA’s warning on Binance… we’ve stopped payments to this specific platform for now.”
Monzo customers can transact with several other large cryptocurrency exchanges, they’re just not allowed to transfer funds to Binance to make crypto purchases.
Crypto investors will have to find an alternative bank that allows Binance transactions – but this may prove difficult under the current regulatory climate.
Buying crypto with Monzo
The Monzo app doesn’t actually allow customers to buy crypto, such as Bitcoin and Ethereum, directly through the app, but it has long been seen as a pro-crypto bank since launching in the UK in 2018.
As a result, it has become popular with people who want to add crypto to their investment portfolios while use the traditional banking services a Monzo account offers.
This means that customers can transfer their cash to cryptocurrency exchanges such as Coinbase to facilitate crypto purchases which are only restricted by the coins offered on the specific platform.
Monzo makes it clear on its website that it’s open to customers who wish to use their account to fund purchases on crypto exchanges, but, like many financial institutions, it has to tow the line when it comes to regulatory compliance.
Binance and the FCA
Binance has struggled to secure full FCA approval and, at the time of writing, had paused allowing UK residents to open new accounts while it tackled a new round of regulations surrounding promotion and advertising.
It’s likely that the crypto giant will re-enter the UK market at some point in the future, but whether banks will be willing to re-engage with the platform and allow customers to buy crypto there remains to be seen.
Related link: Does Monzo allow crypto?
Disclaimer: Nothing on this website constitutes financial advice. The information provided is for educational purposes only.
