Tension between the crypto and banking sectors bubbled anew when Coinbase Global Inc.’s chief executive started a Twitter poll on whether Bank of America Corp. is closing accounts that transact with the exchange.
(Bloomberg) — Tension between the crypto and banking sectors bubbled anew when Coinbase Global Inc.’s chief executive started a Twitter poll on whether Bank of America Corp. is closing accounts that transact with the exchange.
Brian Armstrong tagged Bank of America’s Twitter handle when he posed the question late Wednesday in the US, saying he was “curious if this is the issue.”
Armstrong began the poll after Muneeb Ali, co-founder of blockchain firm Stacks, claimed on Twitter his personal account at the lender was shut after 15 years. Ali said no explanation was given and then alleged the real reason was that he’d used the account to transact with Coinbase for Bitcoin investments.
The poll question got over 8,500 responses by 7:45 a.m. Thursday in London. About 9% voted “yes,” signaling their accounts had been closed due to transactions with the largest US crypto exchange, while some 20% voted “no.”
Bank of America didn’t immediately respond to a request for comment about the allegations or Armstrong’s poll.
The banking sector globally has become increasingly doubtful about the crypto industry following a $1.5 trillion rout last year, a string of digital-asset blowups and intensifying regulatory scrutiny.
US officials in particular have clamped down on crypto in the wake of the collapse of the FTX exchange in 2022. The Securities and Exchange Commission sued Coinbase last month, alleging it was illegally operating an unregistered securities exchange. Coinbase has said the lawsuit lacks merit.
–With assistance from Chanyaporn Chanjaroen.
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