Now the customers of Natwest Bank would only be authorized to send a certain amount of funds from their bank accounts to their crypto trading platforms. The leading commercial bank of the UK has grown concerns over the use of crypto for scams and frauds and thinks that the bank too could be exposed to potential risks. Meanwhile, customers have been further debarred from transferring their funds to certain crypto trading platforms.
One of the major and leading privately owned banking institutions of the UK namely Natwest has taken two crypto-aimed initiatives. However, both the steps are concerning crypto but they are not in favor of crypto.
An official of the bank told that certain restrictions on the transfer of funds from bank accounts to crypto exchanges have been imposed. For instance, only a certain number of funds will be subject to transfer by the customers. The limit has been capped on daily basis and the customers have been informed to ensure strict compliance with the new rule.
The bank also told the customers that such an action has been taken for the customers’ good. The official told that crypto frauds are continuously increasing because people are putting their investments into crypto. Since there is a huge outflow of funds from banks to crypto exchanges, crypto criminals are trying to utilize this opportunity. In the best interest of Natwest’s customers, the bank has decided to impose restrictions on the daily transfer of funds. However, it was clarified by the bank that the decision is for the time being until there is a reduction in crypto crimes.
As a second step, the bank has permanently debarred the transfer of funds from Natwest’s accounts to several crypto trading platforms. These crypto trading platforms are those which do not enjoy a good reputation within the digital asset industry. In fact, the reputations and legitimacy of most of them are doubtful. This is why the bank has told the customers that they will not be able to utilize banking services for sending monies to such exchanges. If such customers wish to transfer funds to exchanges then they would ensure that their exchanges are not part of the banned exchanges’ list.
The bank explained to the customers that such actions are necessary as they will ensure the safety of the customers and the bank. If restrictions were not imposed, then the bank would too be exposed to potential risks of fraud and scams.
Meanwhile, the customers have been warned to remain alert at all times while dealing with exchanges. They have been warned against the high number of crypto crimes taking place in the UK.
It may be noted that Binance exchange, which needs no introduction, has been put on the list of banned exchanges by Natwest Bank.