Starling CEO sounds the alarm on bitcoin and other cryptocurrencies

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Anne Boden, CEO of Starling Bank, speaking at the 2019 Web Summit in Lisbon, Portugal.

Harry Murphy | Sportsfile for Web Summit via Getty Images

LONDON Anne Boden, CEO of British fintech start-up Starling, is worried about cryptocurrencies.

Some digital currency exchanges are “quite dangerous,” Boden said, adding that the financial industry should remain vigilant against fraud in the unregulated crypto market.

It comes after Binance, the world’s largest crypto exchange, was banned from carrying out regulated activity in the UK by the country’s financial services watchdog.

“The industry as a whole really needs to be mindful of the dangers of people using bitcoin and cryptocurrency to process fraudulent payments,” Boden told reporters on a call Thursday.

Founded in 2014, Starling is one of Britain’s best-known challenger banks, a new generation of lenders aiming to shake up the market with online-only checking accounts. Rivals include Monzo, Revolut, and Monese.

On Thursday, Starling announced a 600% increase in revenue in the 16 months ending in 2021, helping the bank to more than halve its losses.

Starling is now on track to record its first annual profit in 2022, Boden said, adding that the company could go public at the end of next year or early 2023.

Britcoin?

Despite her cautious stance on crypto, Boden said she believes there is a future for digital currencies.

“Some digital currencies are interesting (but) our customers don’t ask for this service,” Boden said.

“In 2-3 years, things will have changed and most of the banks, including Starling, will be preparing to do some very interesting things in these areas,” she added.

Starling is closely following the Bank of England’s research on whether to issue a digital version of the pound sterling, Boden said.

The BOE is one of many global central banks exploring their own digital currencies. China is leading the way, testing its digital yuan with millions of people.

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