Chilean Banks vs Crypto Exchanges: Will Citizens Have Access to Technology?

Earlier this week, a group of cryptocurrency exchanges in Chile applied to the courts to fight the decision of banks to shut down their bank accounts.

Banks Itau Corpbanca and Scotiabank announced the closure of the bank accounts of BUDA and CryptoMKT on March 19.

The exchanges are left puzzling as to why the banks feel they have the power to deny access to a new wave of technology.

"The banks have shown their darkest side. Restricting a whole country to access a technology just because they didn't like it. This is even worse than Ecuador, Bolivia or China's case, where the government was the one that took the initiative. Because you could judge the decision of a government, because, at the end of the day these players represent the people, and people are free to take whatever path they feel is right."

Banks ruling over regulators The issue for Torrealba is that the banks, by closing these accounts and effectively stopping the running of cryptocurrency exchanges, are slowing and prohibiting the progress of cryptocurrency in the country.

There is no rule, law, or legislation against digital currency in Chile, yet the banks are operating like stern regulators.

Outsider reactions There was a slew of reactions from Twitter users both inside and outside of Chile, with the general idea of banks setting the boundaries of cryptocurrency usage clearly getting under the skin of a number users.

Chile's state owned bank, Banco Estado, closes down all Chilean #crypto #exchanges accounts.

Eduardo Hernández March 30, 2018 Apparently all Chilean banks will cut ties with crypto companies https://t.

Barry Silbert, CEO and founder of Digital Currency Group, tweeted directly to the banks imploring them to change their decision.