Best Crypto-Friendly Banks in the UK

What Are Crypto-Friendly Banks?

A crypto-friendly bank generally refers to a traditional financial institution that supports its customers' ability to interact with digital assets like Bitcoin, but this support comes in two distinct forms: 

• Integrated Crypto Banks: These are traditional banks that allow customers to buy, sell, and hold cryptocurrencies directly through their banking interface. Users can manage crypto portfolios alongside their regular accounts.
• Transfer-Friendly Banks: These banks do not offer crypto trading or custody services within their own platforms but allow customers to transfer funds to and from FCA-registered crypto exchanges in the UK without unnecessary friction.

Both models aim to provide responsible access to digital assets while maintaining banking standards and risk controls.

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Top Crypto-Friendly Banks in the UK

1. Revolut

​Revolut, established in 2015, has rapidly evolved into a popular financial technology company. Offering a comprehensive suite of services, including multi-currency accounts, crypto trading, and commission-free stock trading, it has attracted over 50 million customers globally. In 2024, the company secured a UK banking license, marking a significant milestone in its expansion plans.

Pros

• Licensed as a bank in the UK under Revolut NewCo Ltd (Firm Reference Number #981170) and licensed as a crypto trading platform in the UK by the Financial Conduct Authority (Firm Reference Number #933846).
• It allows users to manage traditional currencies, such as GBP and EUR, and digital assets, like Bitcoin and Ethereum, in one interface.
• A large selection of 210 cryptocurrencies is available for investment, similar to dedicated digital asset exchanges.

Cons

• High cryptocurrency investment fees range from 1.49% for Standard users and 0.49% for Ultra users. Additional costs of £3.99/month - £45/month apply for Standard, Premium and Ultra memberships.
• Revolut doesn’t offer futures trading, advanced trading tools, staking, or deep analytics that experienced investors might expect on a crypto exchange.
• Users can’t transfer crypto out of Revolut into private wallets for most coins (ETH, BTC, SOL, XRP and five other coins are allowed), meaning you don’t truly "own" your crypto in the traditional sense.

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2. Monzo Bank

Monzo Bank, founded in 2015, is a digital bank known for its mobile-first approach, transparent fee structure, and strong customer engagement. While the bank doesn’t offer built-in cryptocurrency trading or wallet services, it does support transfers to and from FCA-registered crypto exchanges, making it crypto-compatible rather than crypto-integrated.

Pros

• Monzo permits account holders to transfer funds to FCA-registered exchanges, giving customers flexibility to invest in crypto while staying within UK regulatory boundaries.
• Its clear and publicly accessible cryptocurrency policy provides transparency around what’s allowed, reducing uncertainty for users engaging with crypto.
• Monzo's instant transaction notifications and in-app security controls (like freezing a card or managing payments) add an extra layer of protection for users making crypto transfers.

Cons

• Monzo does not support direct crypto trading or in-app access to digital assets, meaning users must rely on third-party platforms to manage their crypto investments.
• Outgoing and incoming payments to some platforms may be delayed or declined if flagged as suspicious, which can be frustrating for legitimate users.
• There is no crypto education, integration, or portfolio tracking within the Monzo app, making it less useful for crypto-active users seeking an all-in-one experience.

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3. Lloyds Bank

Lloyds Bank is one of the UK’s oldest financial institutions, with roots dating back to 1765 and a strong presence in retail and commercial banking. While the bank does not provide direct access to cryptocurrency trading, it does allow customers to transfer funds to FCA-registered crypto exchanges, provided clients complete a verification upon transaction request.

Pros

• Allows transfers to regulated crypto exchanges with zero restrictions, giving customers access to digital asset markets while maintaining oversight for security.
• As part of Lloyds Banking Group, the bank benefits from extensive fraud monitoring systems and robust infrastructure, adding protection for users engaging with crypto platforms.
• Long-standing reputation and regulatory compliance provide confidence to customers who want to keep their fiat banking with a trusted institution while exploring crypto externally.

Cons

• Lloyds has a history of blocking or restricting payments to certain crypto exchanges, particularly if they are flagged as high-risk or lack UK registration.
• No native support for cryptocurrency trading, storage, or education within the bank’s digital platform, offering little to crypto-focused users.
• The approval of crypto-related transactions can be inconsistent, sometimes requiring clients to verify their identity via phone call for their transaction to be processed.

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4. Barclays Bank

Barclays Bank, founded in 1690, is one of the UK's oldest and most influential banking institutions, offering a wide range of financial services including retail banking, wealth management, corporate finance, and investment banking. Although Barclays does not offer direct crypto investment, it does permit users to transfer funds to regulated crypto exchanges.

Pros

• Barclays allows customers to transfer funds to and from FCA-registered cryptocurrency exchanges, facilitating responsible access to digital assets.
• The bank employs rigorous anti-fraud and financial crime checks on crypto-related transactions, providing customers with enhanced security against scams and unauthorised activities.
• There are no transfer limits in terms of sending and receiving money from regulated crypto platforms, allowing for unlimited transactions.

Cons

• The bank does not offer built-in crypto trading, wallets, or custody solutions, requiring customers to rely entirely on external crypto platforms.
• Barclays blocks all transfers going in or coming out of the cryptocurrency exchange, Binance. 
• Unlike other British banks, Barclays does not provide clear, publicly accessible policies specifically detailing its stance on cryptocurrency transactions, creating occasional uncertainty for customers.

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5. Co-Operative Bank

The Co-operative Bank, founded in 1872, is a prominent retail and commercial bank renowned for its ethical stance. Unlike other British banks, it does not offer integrated cryptocurrency services or direct trading within its platform. Moreover, it maintains a conservative approach toward digital asset transactions, restricting payments to certain offshore crypto exchanges.

Pros

• The bank does not impose any restrictions in regards to the amounts that users can send and receive from digital asset exchanges.
• There are several educational blogs regarding cryptocurrency available for clients on the bank’s content hub.
• Co-operative Bank maintains transparent communication regarding its stance on cryptocurrency, clearly informing customers of permitted or restricted platforms.

Cons

• The bank does not offer direct cryptocurrency trading, custody, or wallet services, forcing customers to seek external platforms for crypto investments.
• Due to heightened security policies, Co-op Bank frequently restricts or blocks transfers to offshore cryptocurrency exchanges, potentially limiting customers' freedom to engage in timely crypto transactions.
• Unlike some challenger banks, it does not offer any features to track crypto holdings or provide insights into digital asset markets within its app.

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6. Virgin Money

​Virgin Money, established in 1995 by Richard Branson, has evolved into a prominent UK-based financial services provider. The bank emphasises innovative digital solutions, but maintains a cautious stance on cryptocurrency. The bank does not directly offer crypto trading or custody services within its banking interface and often restricts or blocks transactions with certain exchanges.

Pros

• Virgin Money permits customers to transfer funds to and from cryptocurrency exchanges that are regulated by the Financial Conduct Authority (FCA).
• As a major financial institution, the bank allows high transaction limits, which can be advantageous for customers engaging in cryptocurrency investments.
• The bank provides customer support for transactions involving cryptocurrency exchanges, assisting customers in navigating the complexities of digital asset investments.

Cons

• Virgin Money does not offer cryptocurrency trading, custody, or digital asset wallets within its banking interface.
• The bank provides minimal resources or guidance on cryptocurrency risks or opportunities, leaving customers reliant on external sources.
• It occasionally blocks or delays transactions involving certain crypto platforms considered risky, potentially interrupting timely investment decisions.

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7. HSBC

HSBC, established in 1865, is one of the world's largest and most influential financial institutions, headquartered in London. The bank maintains a conservative position regarding cryptocurrencies, typically restricting direct crypto-related transactions due to risk management policies. It permits customers to transfer funds to FCA-registered exchanges under certain conditions.

Pros

• There are clear guidelines about the banks stance on cryptocurrency, openly communicating to customers what is permitted and highlighting associated risks.
• The banks extensive global presence and multi-currency accounts are beneficial for customers engaged in international crypto investments or trading.
• HSBC allows customers to transfer funds to FCA-registered cryptocurrency exchanges, provided transactions align with the bank’s strict regulatory and risk criteria.

Cons

• HSBC does not offer direct cryptocurrency trading, wallet services, or custody solutions within its banking platforms, limiting ease of crypto management.
• The bank restricts transfers to exchanges to £2,500 for a single transaction and a total of £10,000 in any rolling 30-day period.
• Due to HSBC’s conservative policies, customers frequently transacting with crypto exchanges may encounter repeated payment issues, complicating seamless financial management.

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8. Nationwide Bank

Nationwide Bank, established in 1846, is the UK's largest building society, widely recognised for its customer-owned structure and commitment to responsible banking practices. While it does not provide integrated cryptocurrency trading or custody services, it does permit customers to transfer funds to regulated crypto exchanges under specific security and compliance conditions.

Pros

• The bank permits transfers to FCA-registered cryptocurrency platforms, enabling users to engage with crypto safely within regulatory boundaries.
• The building society offers accessible support channels, assisting customers facing issues with crypto-related payments or transactions.
• Nationwide openly communicates its cryptocurrency payment restrictions, providing transparency and clarity about allowed transactions.

Cons

• Nationwide does not offer cryptocurrency trading, wallets, or custody services within its platform, forcing users to manage digital assets externally.
• The bank does not allow cryptocurrency purchases with a credit card and imposes a daily limit of £5,000 for Faster Payments deposits.
• Transfers from and to the Binance exchange are completely blocked and will not be processed.

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9. NatWest

NatWest is a British financial institution founded in 1968. It has a conservative approach toward cryptocurrencies, frequently placing restrictions on transactions involving digital asset exchanges. Although it permits transfers to some FCA-approved crypto platforms under strict conditions, the bank openly warns its customers about crypto-related scams and security risks.

Pros

• NatWest transparently informs customers about its cryptocurrency transaction policies, helping users understand exactly what transactions are permitted.
• The bank facilitates payments to certain FCA-registered crypto exchanges, enabling customers to safely engage in crypto trading within regulated limits.
• NatWest implements robust security measures to protect customers from crypto-related fraud and scams, prioritising customer safety.

Cons

• NatWest does not provide direct cryptocurrency investment and trading, wallets, or storage services, requiring customers to use third-party platforms.
• The bank restricts Faster Payments and debit card transactions to crypto exchanges to £1,000 per day and £5,000 within a 30-day period.
• Since February 2018, NatWest has completely blocked cryptocurrency purchases using credit cards, reducing customer payment options for crypto investments.

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10. Royal Bank of Scotland

The Royal Bank of Scotland (RBS), founded in 1727 and now part of NatWest Group, is a major banking institution headquartered in Edinburgh, Scotland. Like many traditional banks, RBS adopts a conservative stance toward cryptocurrency, permitting customer transfers to FCA-registered crypto exchanges but implementing strict transaction limits.

Pros

• Customers can transfer funds to cryptocurrency exchanges registered with the FCA, enabling regulated access to crypto investments.
• RBS provides straightforward information on its crypto-related transaction restrictions, allowing customers to clearly understand permitted activities.
• The bank offers accessible assistance to customers experiencing issues or requiring clarification on crypto transaction limitations.

Cons

• There are no digital asset investment services available on the platform.
• RBS enforces tight transaction limits for crypto exchanges, £1,000 daily and £5,000 monthly, which significantly restrict customers who wish to engage in larger crypto investments.
• The bank has fully blocked cryptocurrency purchases using credit cards, limiting customers' available payment options.

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Which UK Banks are not Crypto-Friendly?

Several banks in the United Kingdom maintain restrictive stances toward cryptocurrency, completely blocking transactions involving digital assets. Here is a clear breakdown of non crypto-friendly UK banks and their reasons for restricting crypto transactions:

• Starling Bank: Completely blocks all crypto-related transactions due to fraud risks and customer protection concerns.
• Metro Bank: Enforces a total ban on crypto payments, explicitly citing increased fraud and security risks associated with digital currencies.
• TSB Bank: Frequently blocks or restricts payments to crypto exchanges, aiming to protect customers from fraudulent activity and financial crime.
• Santander: Limits crypto-related transactions significantly and blocks all crypto purchases on credit cards. The bank also blocks all transfers to Binance.
• First Direct: Heavily restricts crypto transactions, aligned with its parent bank HSBC, emphasising fraud prevention, customer protection, and regulatory uncertainty.

The restrictive policies adopted by these institutions highlight their prioritisation of customer security and regulatory compliance over facilitating crypto investments, thereby positioning themselves as firmly non crypto-friendly banks.

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Why do UK Banks Block Crypto Transactions?

UK banks often block or severely limit cryptocurrency transactions primarily to protect customers and mitigate financial crime. Due to the unregulated nature of cryptocurrencies, banks face significant challenges in preventing fraud, scams, and money laundering linked to crypto activities. 

High rates of fraud, especially involving payment scams and unauthorised transactions, have compelled many institutions to adopt cautious stances to safeguard customer funds. British banks must comply with stringent anti-money laundering (AML) regulations imposed by the Financial Conduct Authority (FCA), leading them to implement tighter controls on crypto-related payments. 

Cryptocurrencies' volatile and speculative characteristics, combined with the lack of consumer protections such as coverage under the Financial Services Compensation Scheme (FSCS), further influence banks to restrict access. 

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What is the Safest UK Crypto Exchange?

Kraken is considered as the safest crypto exchange in the UK, primarily due to its advanced security standards and full regulatory compliance. Operated under Payward Limited, Kraken is licensed as a Registered Cryptoasset Firm by the FCA (Firm Reference Number #928768). 

Security measures such as regular Proof-of-Reserves audits, military-grade encryption, and continuous monitoring ensure funds and user data remain well-protected. The advanced platform, Kraken Pro, offers sophisticated analytics and detailed portfolio management tools. 

These factors collectively position Kraken as the most secure and trustworthy exchange for digital asset trading in the United Kingdom.

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Final Thoughts

When choosing a crypto-friendly UK bank, it's important to understand your priorities clearly, whether that's convenience, affordability, security, or flexibility. 

Banks like Revolut offer direct crypto services but with limitations on custodial control, while institutions such as Barclays or Monzo provide indirect access through regulated exchanges with more transparent but restrictive policies.