Natwest-RBS has capped the daily amount its customers can send to cryptocurrency exchanges — including the Binance platform — because of concerns over investment scams and fraud, a spokesperson told Reuters on Tuesday.
The temporary cap targets a number of exchanges and digital asset firms.
The maximum amount varies depending on the platform, and is typically in the thousands of pounds, Reuters reported.
“We have seen a high level of cryptocurrency investment scams targeting our customers across retail and business banking, particularly through social media sites,” the Natwest-RBS spokesperson said.
“To protect our customers from the criminals exploiting these platforms, we’re temporarily reducing the maximum daily amount that a customer can send to cryptocurrency exchanges as well as blocking payments to a small number of cryptocurrency asset firms where we have seen particularly significant levels of fraud-related harm for our customers.”
A spokesperson for Binance, one of the world’s largest crypto exchanges, said it was serious about its responsibility to protect users from attempted scams and frauds.
“Where we are made aware of these kinds of claims, we immediately take action and have an excellent record of working with law enforcement agencies globally to assist in their investigations,” he said.
Binance is coming under increasing scrutiny by regulators around the world.
The UK’s Financial Conduct Authority last week said Binance cannot conduct any regulated activity and issued a warning to consumers about the platform.
The FCA did not give reasons for its move, but told Reuters that Binance withdrew its application to register with it as a crypto-related business in mid-May.
Crypto-related firms have had to register with the FCA since January.