TLDR:
The latest report from the UK Cryptoasset Business Council, titled “Locked Out,” reveals a critical situation. According to the report, banking restrictions on cryptocurrencies in the United Kingdom are stifling the growth of the digital economy. Data indicates that nearly 40% of transactions destined for exchanges are either blocked or suffer unjustified delays.
This is not an isolated trend. Eight out of ten exchanges reported a notable increase in these obstacles during 2025. Most concerning is that these measures are being applied on a massive scale, impacting even entities that strictly comply with FCA regulations.
The industry claims that financial institutions are using regulatory compliance as a tool to hinder competition. As a result, a single platform lost nearly £1 billion in rejected transactions during the last fiscal year.
In addition to the economic losses, there is an absolute lack of transparency; 100% of the surveyed exchanges state that banks do not offer clear explanations after blocking funds. This lack of communication leaves both companies and end-users in a state of total vulnerability.
In this context, the UKCBC urged the Government and the FCA to intervene and prohibit generalized restrictions. The goal is for banks to adopt specific risk frameworks that distinguish between regulated platforms and high-risk ones, preventing the flight of capital and talent to other jurisdictions more friendly to digital assets.
Also read: BCH Weakens, SOL Stabilizes, & BlockDAG Sees A Huge Buying Frenzy as the $0.001 Presale Closes Today!
