Renowned global financial company Santander has decided to put a cap on all cryptocurrency transactions for its UK clients. It attributed its decision to regulators’ concerns about bitcoin fraud. The Spanish financial giant’s British subsidiary, has established a £1,000 ($1,120) restriction on cryptocurrency transactions for consumers.
Additionally, the bank announced that customers will be restricted to $3,360 in total cryptocurrency transactions per month as of November 15 when the restriction goes into effect. Santander added:
“We’ll be making more changes to limit or prevent payments to crypto exchanges in the future, though we’ll always let you know before we make these changes”
Santander aims user protection
Customers will still be able to accept payments from crypto exchanges in their bank accounts in spite of the recently enforced restrictions. The bank says that Santander UK thinks limiting the amount of money customers can transfer to cryptocurrency exchanges is the best approach to protect its customers.
“We feel that limiting payments to cryptocurrency exchanges is the best way to make sure your money stays safe.”
It is important to note that Santander was one of the banks and financial organizations who started preventing payments to Binance last year. The proposal comes as Swiss authorities are getting ready to require identity checks for cryptocurrency transactions worth more than $1,005 in Swiss francs.
This announcement followed debates and got mixed reactions from authors and enthusiasts. Author Layah Heilpern argued, “Remember, they only ban what threatens them. If this isn’t your signal to buy I don’t know what is…” On the other hand, Alesxius, a client, asked: “Since when do they have the authority to tell you what you can and can’t do with your own money?”
While the United Kingdom is working on bringing a comprehensive set of crypto regulations, it has decided to work with the United States to regulate industry together.