Card issuers shun Bitcoin

Big US credit-card issuers are deciding they don't want to finance a falling knife.

JPMorgan Chase & Co, Bank of America and Citigroup said they're halting purchases of Bitcoin and other cryptocurrencies on their credit cards.

JPMorgan doesn't want the credit risk associated with the transactions, company spokeswoman Mary Jane Rogers said.

Bank of America started declining credit card transactions with crypto exchanges on Friday. The policy applies to all personal and business credit cards. It doesn't affect debit cards, said company spokeswoman Betty Riess.

And on Friday, Citigroup said it too will halt purchases of cryptocurrencies on its credit cards. "We will continue to review our policy as this market evolves," company spokeswoman Jennifer Bombardier said.

Bitcoin has lost more than half its value since December 18, falling below US$8,000 (HK$62,400) on Friday before rising again on Saturday to US$9,290.

Source: http://www.thestandard.com.hk/section-news.php?id=192509&sid=2