NAB Places Strict Restrictions On Crypto As Australia Cyber Scam Epidemic Escalates

National Australia Bank Ltd. NABZY has imposed restrictions on certain payments to crypto exchanges deemed as "high-risk," citing concerns over scams.

This move aligns the bank with other major Australian firms that have also limited access to digital asset platforms due to similar apprehensions.

"These scammers are part of organized, transnational crime groups," National Australia Bank (NAB) executive for group investigations and fraud Chris Sheehan said. "Increasingly, we're seeing them use cryptocurrency platforms to send stolen funds quickly and often overseas."

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Westpac Banking Corp., Commonwealth Bank of Australia, and Australia & New Zealand Banking Group Ltd. have all implemented comparable measures.
NAB claims crypto scams are a rapidly escalating security concern and cost Australians A$221 million ($151 million) in the previous year alone. Nearly half of the scam funds reported to the Australian Financial Crimes Exchange over a recent 30-day period were associated with cryptocurrency.

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The bank has yet to provide further details on the specific crypto exchanges affected by this decision.

Westpac became the first among Australia's big four banks to introduce new protective measures against crypto scams on May 18.

On the same day, Binance Australia announced that it could no longer provide Australian dollar deposit services due to a decision made by payment solutions provider Cuscal.

Cuscal's primary concern is "protecting Australians from financial crimes and scams."

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