Revolut, a digital banking app, will no longer offer cryptocurrency trading services to customers based in the US due to increased regulation by the nation’s authorities.
Bloomberg report reveals US customers cannot buy crypto
A recent Bloomberg report stated that starting from September 2nd, US-based customers will no longer be able to buy cryptocurrencies through the $33 billion platform.
A month later, all access to crypto holdings will be completely shut down.
The cryptocurrency industry has recently come under increased scrutiny from US regulators after a series of bankruptcies and scandals.
Revolut had previously suspended the trading of Solana (SOL), Cardano (ADA), and Polygon (MATIC) in the country following the US Securities and Exchange Commission’s (SEC) allegations that the altcoins were unregistered securities. More recently, the SEC reportedly asked Coinbase to stop trading all crypto assets except Bitcoin (BTC).
A spokesperson for Revolut stated the following:
“As a result of the evolving regulatory environment and the uncertainties around the crypto market in the US, we’ve taken the difficult decision, together with our US banking partner, to suspend access to cryptocurrencies through Revolut in the US.”
The London-based firm says the decision to terminate crypto services in the US will affect less than 1% of the platform’s global customers.
New capital to enter the crypto space
A market analyst, Pentoshi, who accurately predicted the end of Bitcoin’s bull market in 2021, is now forecasting a potential surge in the future.
According to Pentoshi, there seems to be a decline in capital inflows into the cryptocurrency market.
Nonetheless, the analyst expects a shift in market conditions leading up to Bitcoin’s next halving event in the coming months.
Pentoshi keeps a close eye on stablecoin market caps and total value locked (TVL), both of which have been decreasing along with the majority of altcoins.
However, the analyst believes that fresh investment will soon enter the market, and predicts that Bitcoin could see a significant increase around Q1 2024.
