Starting Friday, the UK banking giant will block all crypto-related transactions made with its credit cards. Customers attempting to buy digital currencies using Barclays (GB:BARC) credit will be stopped in their tracks—a move the bank says is designed to reduce financial risk and fraud exposure.
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Barclays Risks Losing Ground on Crypto Transaction Fees
The decision could choke off a growing but volatile revenue stream. While crypto isn’t a primary moneymaker for Barclays, interchange fees and transaction volumes from retail customers exploring digital assets have been quietly growing. By pulling the plug, the bank is signaling a conservative approach, potentially pushing crypto-enthusiast clients toward more fintech-friendly institutions. That’s a long-term cost in customer loyalty and brand alignment in an increasingly digital financial system.
Barclays Faces Setback in the Race for Digital Finance
The problem is that Barclays is cutting itself off from one of the fastest-growing transaction categories in finance. While Barclays blocks transactions, firms like Revolut, PayPal (PYPL), and Coinbase (COIN) continue to deepen their crypto integrations. Even traditional rivals like HSBC have begun dipping toes into tokenization pilots and digital asset custody. Barclays, by contrast, looks like it’s retreating from the frontier.
For investors, the move is a double-edged sword. On one hand, it reflects prudent financial governance. On the other, it highlights a lack of strategic appetite for the digital finance revolution. In a world where JPMorgan (JPM) is experimenting with blockchain settlement layers and BlackRock (BLK) is running tokenized funds, Barclays’ retreat could read more like hesitation than discipline.
Is Barclays Stock a Good Buy?
Barclays stock is currently rated a Strong Buy based on recent analyst sentiment. Over the past three months, all 10 analysts covering the stock have issued Buy ratings, with no Holds and no Sells. The average 12-month BARC price target stands at 381.11p, implying a 14.81% upside from the current price of 331.95p.
