HSBC Australia Blocks Payments to Crypto Exchanges Over Scam Concerns
On July 24, HSBC Australia began restricting customer payments to cryptocurrency exchanges, becoming the latest major bank to distance itself from the crypto sector due to fraud concerns.
This move, announced in an email to customers, aims to protect them from potential scams by blocking transactions from accounts and credit cards deemed to be heading to crypto platforms.
HSBC’s decision follows a report from Australia’s competition and consumer regulator that highlighted $171 million lost to investment scams in 2023. While acknowledging the inconvenience, HSBC emphasized the need to prioritize customer safety.
Shortly after HSBC’s announcement, Bendigo Bank adopted similar measures, also citing the need to safeguard clients from investment fraud.
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Amy-Rose Goodey, managing director of the Digital Economy Council of Australia (DECA), voiced concerns over HSBC’s sudden decision, stressing that it adds to a growing trend of banking restrictions impacting the cryptocurrency community. She called for better regulatory dialogue to balance innovation and risk.
HSBC confirmed that it will continue accepting payments from cryptocurrency exchanges and assured that other banking services will remain unaffected. The bank serves 1.5 million customers across 45 branches in Australia.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
