Australia’s Commonwealth Bank To Decline ‘Certain’ Payments To Crypto Exchanges

Coingapestaff
June 8, 2023
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Breaking: Australia's Big Four Banks Block Payments To Crypto Exchanges

Australia’s largest bank Commonwealth Bank (CBA), has announced that it will decline certain payments to cryptocurrency exchanges, citing concerns about potential scammers.

This comes as a result of lawsuits faced by two major global cryptocurrency exchanges – Binance and Coinbase from the United States the Securities and Exchange Commission (SEC).

Moreover, this move comes after another prominent Australian bank, Westpac, prohibited its customers from engaging in transactions with Binance.

According to statement released by the Commonwealth Bank on June 8, it would decline or impose a 24-hour hold on “certain payments to cryptocurrency exchanges.”

However, the bank did not provide any details regarding which exchanges or payment types would be affected by these new measures.

“Commonwealth Bank has today introduced new measures to help protect customers from scam risks associated with making certain payments to cryptocurrency exchanges,” the CBA stated.

According to a report published by Cointelegraph, the bank further added that they will limit its customers transactions with crypto exchanges to 10K AUD per month in the coming months.

Reportedly, James Roberts, the general manager of CBA’s fraud management services, stated that scammers worldwide are taking advantage of the growing interest in the crypto market. These scammers often pretend to be legitimate investment opportunities or redirect funds towards cryptocurrency exchanges in deceptive schemes.

The bank also said that it would monitor the imapct of the measures to tackle the situation.

When And Why Did SEC Sue Binance?

On June 5, the SEC sued Binance and its CEO Changpeng Zhao for allegedly mishandling funds, violating federal securities laws and lying to regulators. SEC filed 13 charges against the leading crypto exchange.

According to the lawsuit, the Binance offered unregistered securities to the general public in the form of BNB token and Bianance BUSD stablecoin.

Also Read: Binance & Coinbase Witness $600Mn In Net Outflows As Investors Lose Trust

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.