To safeguard customers from scams, Commonwealth Bank (CBA) has implemented partial restrictions on payments to cryptocurrency exchanges. The Australian bank announced on Thursday that it would either decline specific payments to crypto exchanges or subject them to a 24-hour hold, though the hold duration may vary.
Additionally, CBA intends to introduce a monthly limit of 10,000 Australian dollars ($6,700) on payments to crypto exchanges in the coming months.
James Roberts, Commonwealth’s general manager of fraud management, explained the rationale behind these measures, saying: “With the incidences of scams increasing and in many cases customers suffering significant losses from being scammed, the introduction of 24-hour holds, declines and limits on outbound payments to cryptocurrency exchanges will help reduce both the number of scams and the amount of money lost by customers.”
Commonwealth Bank’s actions align with Westpac, another Australian bank that recently prohibited transfers to Binance, the world’s largest crypto exchange, and specific other platforms. Several UK banks have also imposed restrictions on payments to exchanges.