- Beginning in 2023, Santander will stop real-time payments to bitcoin exchanges.
- The bank said yesterday that there would be restrictions on payments to exchanges starting on November 15.
- Customers can still send money to and receive money from a crypto exchange.
As part of its efforts to safeguard consumers against fraud, Santander will prohibit UK customers from transferring real-time payments to crypto exchange, the bank said in a statement sent via email on Friday.
The bank will implement a block on all real-time payments made to the crypto exchange via telephone banking, in-branch payments, as well as internet and mobile banking, at some undisclosed point in 2023.
The bank will join other UK retail banks in restricting customer transfers to crypto exchange as of November 15 this year. For transfers to crypto exchange made through mobile and online banking, Santander users will be subject to limitations of 1,000 pounds per transaction and 3,000 pounds overall in any rolling 30-day period.
Customers will still be able to accept payments from a crypto exchange in their bank accounts despite the recently enforced restrictions. However, members of Crypto Twitter criticized the announcement and raised questions about it.
The limits announced today are not entirely unexpected since the bank stated in its announcement yesterday that it would make “additional modifications to limit or block payments to crypto exchanges in the future.”
In response to a warning from the Financial Conduct Authority, Santander stopped processing payments to the significant cryptocurrency exchange Binance in 2021. Santander stated that it would keep preventing payments to Binance.
Crypto’s Current Outlook in the UK
For the past few days, the UK has largely been opposed to the cryptocurrency sector, but there are indications that this trend may soon reverse.
Changes at the highest levels and Rishi Sunak’s appointment as PM are the key drivers of this. He has previously defended the sector and stated that the UK needed to enact appropriate legislation around bitcoin operations.