Crypto: More than 10,000 complaints against UK bank restrictions

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The Stand With Crypto UK report brings together the approaches of customers facing banking restrictions. The organization, which defends the digital assets sector, presents these results as an access problem beyond isolated disputes.

The perimeter nevertheless deserves clarification. These complaints are not decisions of the Financial Ombudsman, nor the results of a representative survey of all UK customers. Their number depends in particular on participation in the campaign and the size of the establishments concerned. It therefore does not allow a payment rejection rate to be calculated.

The restrictions are, however, well documented. At NatWest, payments to exchanges remain limited to 1,000 pounds per day and 5,000 pounds over thirty days. A transfer below the ceiling may also be subject to additional controls.

Santander UK sets a maximum of 1,000 pounds per transaction and 3,000 pounds over a rolling thirty-day period. These limits concern in particular transfers made from applications, online services or in branches.

However, not all policies have remained static since 2023. Chase UK's current page allows payments from its app to an account held by the customer with an FCA-registered UK company. It provides for ceilings of 1,000 pounds per day and 5,000 pounds over thirty days, while refusing crypto purchases by card. Talk of a total ban therefore remains inaccurate today.

Banks mainly cite the risk of fraud to justify these controls. Since October 7, 2024, the British system has required the reimbursement of certain authorized transfer frauds, known as APPs: the victim validates a payment themselves after having been deceived.

This protection can reach 85,000 pounds per file. It concerns eligible UK transfers made by Faster Payments or CHAPS, subject to conditions. It does not constitute general insurance covering investments or losses in cryptocurrencies.

The system reinforces the financial interest of establishments in detecting scams. However, it does not explain, on its own, all the restrictions: NatWest had announced its ceilings in March 2023, before it came into force.

The debate thus opposes two legitimate objectives: protecting customers against fraud and allowing them to use their money for legal transactions. For users, registering a platform with the FCA still does not guarantee that their bank will accept payment.

With a background in literature and languages, I like to combine rigorous analysis with a taste for ideas to decipher the major economic and (geo)political issues linked to cryptocurrencies. Since 2021, I have been writing for Journal du Coin where I focus on subjects such as Bitcoin, MNBC, the tokenization of RWA and more broadly the strategic mutations of Web3. A passionate reader, curious about the world and the power relationships that structure it, I strive to make these themes accessible to all, with particular attention to projects designed for the general public.

Machine-translated from French