Multinational banking group Santander has positioned a restrict on all crypto transactions for its clients in the UK. The group cited cryptocurrency fraud warnings from regulators as the rationale behind its determination.
Based on an announcement on Nov. 3, the financial institution plans to guard its clients from the dangers related to investing in crypto belongings, sharing that “cash held in clients’ crypto wallets is unlikely to be protected by the Monetary Ombudsman Service and Monetary Providers Compensation Scheme if one thing goes mistaken.”
In an alleged effort to protect its clients from crypto-related dangers, Santander UK mentioned it believes that one of the best ways to guard its shoppers is to restrict the sum of money they’ll ship to crypto exchanges, asserting that that is “one of the best ways to ensure your cash stays secure.”
The restrict might be enforced beginning Nov. 15, and clients might be restricted to a 1,000 British pound restrict per transaction, and a complete restrict of three,000 kilos a month. The financial institution added:
“We’ll be making extra modifications to restrict or stop funds to crypto exchanges sooner or later, although we’ll all the time let you realize earlier than we make these modifications”
Regardless of the newly imposed limits, clients will nonetheless be allowed to obtain funds from cryptocurrency exchanges of their financial institution accounts.
Associated: Santander’s UK arm follows Barclays in banning funds to Binance
The announcement was met with criticism and raised eyebrows from members of Crypto Twitter. Bitcoin (BTC) fanatic, podcaster and writer Layah Heilpern mentioned, “Keep in mind, they solely ban what threatens them. If this isn’t your sign to purchase I don’t know what’s…”
So actually nothing new. UK banks have been slowly blocking/limiting crypto funds for over a yr now, I reside there, I’ve a number of banks right here
— Model ⚒️ (@Brand99_) November 3, 2022
One other person, Alesxius, shared: “Since when have they got the authority to let you know what you possibly can and may’t do with your individual cash?”
Since when have they got the authority to let you know what you possibly can and may’t do with your individual cash?
— Alesxius (@alesxius) November 3, 2022
In 2021, Cointelegraph reported that Santander’s U.Ok. banks had adopted in Barclays’ footsteps in banning its clients from sending funds to Binance, citing warnings from the Monetary Conduct Authority.