National Australia Bank Ltd. blocked some payments to “high-risk” crypto exchanges, joining the country’s other big lenders in curbing access to digital-asset platforms on concerns about risks from scams.
(Bloomberg) — National Australia Bank Ltd. blocked some payments to “high-risk” crypto exchanges, joining the country’s other big lenders in curbing access to digital-asset platforms on concerns about risks from scams.
“These scammers are part of organized, transnational crime groups,” Chris Sheehan, executive for group investigations and fraud at NAB, said in a statement. “Increasingly, we’re seeing them use cryptocurrency platforms to send stolen funds quickly and often overseas.”
Westpac Banking Corp., Commonwealth Bank of Australia and Australia & New Zealand Banking Group Ltd. have also taken similar steps in the past few weeks. NAB labeled crypto scams a fast-growing security threat that cost Australians A$221 million ($151 million) last year alone.
Almost 50% of scam funds reported to the Australian Financial Crimes Exchange were linked to crypto in a recent 30-day period, NAB said. The bank didn’t immediately respond to an email seeking clarity on the specific digital-asset exchanges impacted by the decision.
Westpac on May 18 was the first of the big four Australian banks to bring in new customer protection measures against crypto scams.
That same day, Binance Australia said it could no longer offer Aussie dollar deposit services due to a decision by payments solutions provider Cuscal. Cuscal said at the time its primary focus is on “protecting Australians from financial crimes and scams.”
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