Bitcoin buying using credit cards is forbidden by JP Morgan, Bank of America and Citigroup
Three big and important banks are queueing a ban on their clients for buying bitcoin using credit cards. The main reason is the swinging price on the market for the biggest cryptocurrency.
According to CNBC, JP Morgan Chase and Bank of America said last night that the option of buying crypto with their credit cards will be banned. Citigroup is joining in also according to Bloomberg.
The reason for the ban is that users who get into crypto acquisitions are in high risk of loosing their money due to high volatility of the prices.
Over the past year bitcoin has seen an increase in price of over 700%, according to the OnchainFX , and a decrease of 40% the past month as a result of the fear induced by economists calling it a bubble.
Recently the price fell down to below $8000 the first time since November, after hitting all time high of $20000 in December.
Jamie Dimon, the chief executive of JP Morgan, is the most prominent from all the bitcoin sceptics describing it as a "fraud". According to Bloomberg television, Nouriel Roubini, a New York University economist who is famous for predicting the financial crisis called bitcoin "mother of all bubbles".