London fintech Moneybox hails customers’ crypto investment plans

by James · April 28, 2023

oneybox has shelved plans to introduce crypto products to customers as the London fintech distances itself from digital assets amid market volatility and cost-of-living pressures.

The firm, which offers app-based savings and investment services, had previously expressed enthusiasm for cryptocurrencies and boasted plans for crypto investment options for clients following its £35m Series D round last year, but has since put those plans on the back burner. , according to a report from fintech news site AltFi.

Moneybox CEO Ben Stanway said: “Over the past 12 months, significant market volatility has affected how consumers choose to invest their money, and while crypto remains an option on our product roadmap, its integration into the Moneybox investment proposition has been downgraded.”

“At Moneybox, we are committed to helping people build and grow wealth throughout their lives, and most recently, our focus has been on helping our clients make progress toward their financial goals while navigating changing market conditions with greater confidence, ” he added.

Moneybox had previously spoken about the importance of the crypto trading market and was keen to help shape the rules for how it would work, responding to a UK government consultation on future cryptocurrency regulations.

“Interest in this asset class is growing, and rather than being a niche investment for hobbyists, crypto-assets can have a place in a diversified investment portfolio, provided they are subject to regulation in the same way as other high-risk investment classes,” Moneybox said in its consultation response.

It comes as a number of major UK banks, including Starling, Barclays and RBS, have blocked credit card payments and transactions with crypto exchanges amid a wider crackdown on Bitcoin-related activity.

Starling said: “The innovative technology and thinking behind cryptocurrencies have great potential benefits, but right now they are high-risk and widely used for criminal purposes, and as such we no longer support them.”

The price of Bitcoin has climbed 69% since the start of the year to top $29,000, but remains well below its 2021 peak of $64,400.

Moneybox founders Ben Stanway and Charles Mortimer each have a fortune of £19.7m, according to an estimate produced by the Evening Standard Tech Rich List.