NatWest caps transfers to crypto exchanges over fraud concerns

Britain’s Natwest Group has capped the daily amount customers can send to cryptocurrency exchanges, including major platform Binance, because of concerns over investment scams and fraud, a spokesperson confirmed on Tuesday.

The temporary cap, imposed by one of Britain’s domestic biggest lenders on June 24, targets a number of exchanges and digital asset firms, the spokesperson said.

The maximum amount varies depending on the platform, and is typically in the thousands of pounds, they added.

A spokesperson for Binance, one of the world’s largest crypto exchanges, said it was serious about its responsibility to protect users from attempted scams and frauds.

Binance is coming under increasing scrutiny by regulators globally.

Britain’s financial watchdog last week said it cannot conduct any regulated activity and issued a warning to consumers about the platform.

The Financial Conduct Authority (FCA) did not give reasons for its move, but told Reuters that Binance withdrew its application to register with it as a crypto-related business in mid-May.

Since January, crypto-related firms have had to register with the FCA, which oversees compliance with laws designed to prevent money laundering and terrorist financing.

In the wake of the move by the FCA, the NatWest spokesperson said it would keep under review Binance’s place on the list of crypto companies affected.

Binance offers services ranging from digital token trading to derivatives, as well as emerging technology such as tokenised versions of stocks.

Share: