Natwest Caps the Daily Transactions Made to Crypto Exchanges

Natwest, National Westminster Bank, is a renowned name in the United Kingdom among retail and commercial banks. However, as per the latest development, the bank’s spokesperson told Reuters that there would be a cap on customers’ daily dealings with the cryptocurrency exchanges due to investment scams and fraud.

The spokesperson from the National Westminster Bank said that there had been cases involving higher levels of scams targeting our clients across retail and commercial business banking, especially through social media sites. He added that this step is taken to protect our clients from these scammers spread across the platform. As a result, they are temporarily capping the amount that customers were allowed to send to the cryptocurrency exchanges and cryptocurrency asset firms. At these places, the bank has seen significant fraudulent activities taking place and subsequently harming the trust of our customers. He said that the maximum amount capped would be thousands of pounds. However, the exact amount depends on the platform.

U.K.’s financial regulator, FCA, issued consumer notice to Binance. However, FCA revealed later that Binance had withdrawn the application of registering a crypto business around the middle of May 2021. As a result, Natwest is targeting exchanges like Binance.

As per the cryptocurrency regulation in the U.K., the companies interested in providing services related to crypto have to register with FCA as they take care of the legal compliance to avoid terrorist financing and money laundering.

A few months back, around May 2021, Natwest alerted customers to save themselves from cryptocurrency scams. However, in April 2021, a few reports said Natwest has turned down the businesses that accept cryptocurrency.