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Barclays cancels banking deal with Coinbase – Report

Yogita Khatri

U.K.-based financial services giant Barclays has reportedly stopped providing banking services to cryptocurrency exchange Coinbase.

CoinDesk reported the news on Wednesday, citing industry sources. The report added that Coinbase has now found a new banking partner in ClearBank, citing “people familiar with the situation.”

The change in banking partner has apparently affected Coinbase’s users as they no longer have access to the U.K. Faster Payments Scheme (FPS), which allowed them to instantly deposit and withdraw British pounds at the exchange. The situation, however, is temporary as ClearBank is expected to bring back Coinbase's FPS access by the end of the third quarter, per the report.

Earlier this week, Coinbase removed the support for privacy cryptocurrency Zcash (ZEC) for its U.K. customers, and according to the report, it was “completely to do with the new bank.”

ClearBank also provides services to cryptocurrency exchange London Block Exchange and token trading platform Archax, among others.