[2013-12-15] CoinDesk: Barclays Bank Takes Deposits For New UK BTC Exchange

[bryant.coleman]

http://www.coindesk.com/barclays-bank-uk-bitcoin-exchange-bit121/

This is an interesting news. At least we have one bank in the UK which supports the BTC!

Barclays is taking sterling deposits for a new bitcoin exchange, making it the only UK bank to do so currently. Banks in the UK have avoided working with bitcoin exchanges so far, but customers of new bitcoin exchange Bit121 can deposit their sterling to a Barclays account with a Canary Wharf address.

[18RATTT]

God Bless the Barclays!

[btbrae]

Title is misleading, as is the CoinDesk article and it doesn't inspire much confidence if you actually read it.

[indiemax]

What the UK needs is a trading platform with the exchange,surely some guys must be trying to get one going

[e521]

Barclays closed mtgox account long time ago, it's a shit bank (I am a customer, unfortunately).
I think they also blocked deposit to other exchanges but I am now 100% sure about this.

What the UK needs is a trading platform with the exchange,surely some guys must be trying to get one going

closest thing you can get now is bittylicious.com

[exstasie]

Thats amazing!  I hope that other banks sees this and start offering this as a service.

[empoweoqwj]

Let's see how long it actually lasts. Sometimes banks are ok at first, and then close the account once they realize either (a) they don't like bitcoins or (b) the workload involved in processing all the transfers.

[bryant.coleman]

Let's see how long it actually lasts. Sometimes banks are ok at first, and then close the account once they realize either (a) they don't like bitcoins or (b) the workload involved in processing all the transfers.

I don't think #2 will be a factor here, as normal fees are paid to the bank. However, # should be a concern, as other banks will use different kinds of pressure tactics to reverse this decision.

[empoweoqwj]

Let's see how long it actually lasts. Sometimes banks are ok at first, and then close the account once they realize either (a) they don't like bitcoins or (b) the workload involved in processing all the transfers.

I don't think #2 will be a factor here, as normal fees are paid to the bank. However, # should be a concern, as other banks will use different kinds of pressure tactics to reverse this decision.

Several banks have backed out because of the sheer workload. Their staff just can't cope. I know they get their fees but they just don't have the staff numbers to do the actual work involved.

[bryant.coleman]

Several banks have backed out because of the sheer workload. Their staff just can't cope. I know they get their fees but they just don't have the staff numbers to do the actual work involved.

I am still having my doubts. For example, the Barclays is having somewhere around 140,000 employees who work in regular shifts. How many of them might be needed to process BTC-related transactions? I don't think it will require more than a few dozen, even at peak time periods.

[Inedible]

Can someone explain what manual work is required for staff to do?

Isn't it all numbers in a database?

Coinbase takes all the risk - isn't it all automated?

[worldinacoin]

Banks are the most traditional of business, they will be the last to accept bitcoins, which does not mean that bitcoins will be dying.   By the time banks started to accept Bitcoins, I guess Bitcoin will be more or less in the mainstream, we do not need to care too much about what banks do.

[empoweoqwj]

Several banks have backed out because of the sheer workload. Their staff just can't cope. I know they get their fees but they just don't have the staff numbers to do the actual work involved.

I am still having my doubts. For example, the Barclays is having somewhere around 140,000 employees who work in regular shifts. How many of them might be needed to process BTC-related transactions? I don't think it will require more than a few dozen, even at peak time periods.

Bitcoin companies still deal with individual branches. They don't take over the entire Barclays operation. That is the bottle neck. The managers just don't need the hassle, put a call into head office, and get the account taken down. They don't need to give a reason even.

[empoweoqwj]

Can someone explain what manual work is required for staff to do?

Isn't it all numbers in a database?

Coinbase takes all the risk - isn't it all automated?

No its not all automated. Every transaction is checked for fraud. Every transaction over a certain size is double-checked for fraud and money laundering.

[bryant.coleman]

No its not all automated. Every transaction is checked for fraud. Every transaction over a certain size is double-checked for fraud and money laundering.

What will be the limit for that? I don't think that transactions of such volume occurs very frequently with Bitcoin exchanges.

[medUSA]

I believe Barclays do want to capture profits from Bitcoin activities, but do not want to be directly linked to a Bitcoin exchange. The new may not inspire too much confidence, but it is actually a small step forward.

[empoweoqwj]

No its not all automated. Every transaction is checked for fraud. Every transaction over a certain size is double-checked for fraud and money laundering.

What will be the limit for that? I don't think that transactions of such volume occurs very frequently with Bitcoin exchanges.

$10K normally. And that doesn't have to be for one transaction. It can be cumulative over several days.

Even normal wires are checked. Details of account holder name etc. Nothing is "fully automated"

[bryant.coleman]

$10K normally. And that doesn't have to be for one transaction. It can be cumulative over several days.

Even normal wires are checked. Details of account holder name etc. Nothing is "fully automated"

I have watched the transaction in BTC-E and Mt Gox. Trades over $10 K are not frequent, but also not that rare.

[empoweoqwj]

$10K normally. And that doesn't have to be for one transaction. It can be cumulative over several days.

Even normal wires are checked. Details of account holder name etc. Nothing is "fully automated"

I have watched the transaction in BTC-E and Mt Gox. Trades over $10 K are not frequent, but also not that rare.

What is your point? We were talking about banks taking on bitcoin "exchanges" as customers. Several have been closed already. Fact.

How on earth do you know how many $10K deposits are made at BTC-E or MtGox? You can't possibly know that from watching "trading". The two are completely separate, you do realise that don't you?

[nate008]

Those titles on Coin desk are sometimes annoying.

From the article:
"“Bit121 do not bank with Barclays. Rather, they use a payment service provider who does. I am thus unable to help you with this as Bit121 is not our client.”"