Chase Closes Bank Accounts of Compass Mining

Chase, the US-based financial services giant, has reportedly closed the bank accounts of Compass Mining. According to a recent tweet by Whit Gibbs, Founder and CEO of Compass Mining, Chase recently closed bank accounts of the crypto mining firm.

“Shoutout to Chase for shutting down compass mining accounts for doing our part to replace the old guard with self-sovereign, future-focused supporters of hard money. Get behind Bitcoin or get out of our way,” Gibbs mentioned on Twitter.

Gibbs also highlighted that the company is in talks with the Silicon Valley Bank (SVB). He further assured the company’s clients that there is nothing to worry about the latest development.

“Fortunately, the company doesn’t entrust its finances solely in one institution, so business operations move on as usual,” the CEO of Compass Mining explained.

Earlier this month, HBSC, one of the largest banks in the UK, blocked the UK-based customers from using bank-issued credit cards in making payments on crypto exchange Binance. In July 2021, several British banks including Barclays and NatWest blocked payments to the digital exchange Binance.

Crypto Mining

The global crypto mining industry is currently going through a major shift after China’s mining crackdown in the region. Bitcoin mining hash rate touched a peak of 180 EH/s in May 2021 but dropped by approximately 50% in June and July due to uncertainties regarding the future of Chinese crypto miners. The global crypto mining industry has shown some signs of recovery in the last few weeks. BTC mining hash rate reached a high of 112.5 EH/s in August, compared to the low of 90 EH/s in July 2021. Operational BTC miners also saw a substantial jump in profitability during the last few weeks.

The crypto community reacted strongly to the latest news about the blockage of banks accounts of Compass Mining and termed the recent step as a major hurdle for the adoption of digital currencies in the region.

Source: Read Full Article