Bitcoin Forum

After transfer BTC to banks account finally, they frezze my account and asked to provide documents, source of funds. From my crypto wallet, funds where transferred to banks account, so I transfer to my self. What documents could be about BTC source...?

That may be hard for us bounty hunters and traders. But you should try to make them understand where all of our funds comes so that they will not freeze our accounts. You should try to make a document regarding from where you get all of that. There are things such us trade history in exchanges to show them.

If you live in a country where laws are strict in terms of money laundering and proving source of income then you should consider taking out your money using a bitcoin atm machine. The fees are higher but at least you can get them without proving source of income

As an option to prove your income, you can apply the token receipt file to the wallet https://www.myetherwallet.com/ for participation in bounty companies.
print or show your income referring to https://etherscan.io/ and maybe you will believe. You can also show their work in the bounty of the companies if what you are doing is accounting.

No documents can not be, because bitcoin is an anonymous system! In what country did this event take place? I think you have not regulated the legislation on bitcoin, so banks freeze accounts because they do not understand the source of funds. Documents you vryatli course will be able to find, as it is simply impossible. Try to talk to the Bank Manager and resolve the issue. Please write if the issue will be resolved.

It's hard to prove something that should be anonymous, and maybe you had withdrawn a large sum of money or something that's why it has affected your reputation and current status of your bank. Probably they have a rule whether they support cryptocurrencies or not. I think you should check out with the manager there and try to convince that you had done the right thing.

I'm just wondering why you created a new account to ask a question, assuming you have one.

you don't deposit bitcoin in your bank account! you can not do that. what you deposit is fiat. and that is the problem. you probably made an unusual deposit (possibly size of it) or it is possible that the money came from a bitcoin exchange and now your account is flagged.
your best solution is to consult a professional that is also familiar with the laws in your country like a lawyer. we can not help you much here.

It seems that you have transfered funds from exchnage to bank account and the bank did flag this tx and now wants explanation.
This is something that could impact any on of us , thats why it would be benefitial if you did share more information.

Which bank did freee your funds or at least in which country this bank is located ?
Can you disclose the amount of transfared funds?

My first tought is that you should probably thell them that this funds from trading. ( Tell that there was some gained capital and pay taxes from them and then provide bank with tax statement)

It rather depends on how much you want to bank, banks AML & anti fraud systems look for unusual transactions such as large lump sum being deposited from an unrecognised entity. It would not be a problem if for example a very large amount was deposited by a solicitor as the bank would be happy with the origin of the funds-but if it came from for example an overseas crypto exchange then they would certainly be looking at it very closely. The best way is to either  sell for cash on local bitcoin or ATM and bank sensible amounts at random intervals, or use prepaid debit cards (you can get multiple) and load your cash onto them thereby avoiding the bank altogether.

This is why the big privacy coins have been so popular.  Trying buying as many goods and services as you can with venders that accept bitcoin or the other privacy coins.  You just need to prove the source is not nefarious (drugs, human trafficking, terrorism) and that you’ll pay your taxes.  Eventually they’ll release the funds.  Also, in the future, when you do a transfer, try a smaller amount.

This is the reason I support crypto over fiat money.  Banks can freeze your money anytime they want, you are never in complete control of your own funds.  In the future this shouldn't be a problem when crypto is accepted everywhere and we won't even have to deal with the central banks.  Its only a mtter of time before this becomes a reality.

Just a pointer for future reference - Localbitcoins create an online receipt for every transaction you make. I’m sure other wallet providers do the same.

How much money are we talking about which led to your account being frozen please OP?

Unfortunately, such situations can occur. First of all, it is necessary to know whether your country has a sanction in terms of combating financial crime. In my country there are some account blocks. You can request a document from where you transferred the money. I guess it would help.

Do they know that it was the money that previously was in bitcoins? For example, in Ukraine you can sell your btc and get fiat transferred to your bank account, so the bank only knows that someone gave you some money. If it was more like an official transfer from btc into fiat and you have nothing to hide from the bank, you could try to provide sources of this money. If you bought bitcoins some time ago, there should be a relevant transaction somewhere that you could print out and explanation. If you earned it in some bounties, you could try printing out the spread sheet with your account being circled and then show that the money that came to your wallet is the same you transferred to bank account. Don't worry, I think it's gonna be okay, you should just show them as many things as you can regarding your btc.

Thanks to You all for advises and my short story why and what's happening:
 1. I'd registered here today, because looking how to get back my funds from bank in Latvia for 3rd week.
2. I'd transfer fiat from trade platform, so before funds where crypto.
3. Banks support wants to get some documents about funds source, but they do not explain exactly. Also support only forward all information to head office - London. So my issue takes 3rd week and I can't use my account and money. Crypto is anonymous, so I can't provide any documents. Also I transferred fiat from my own wallet - to my banks account, and bank ask me do I have an agreement with that wallet :)))... It's not usual situation for them and that's makes things go slow.
4. Amount is 20 000 euro/month.
5. Hope my payslips will prove source of funds and they give back my money.
Finally - I transferred my money fiat, to my Bank account and they block access to me for 3 weeks!
I'll update here about how things going on with blocked account .

It's a usual situation happening daily with banks, no matter if you deal with cryptos or not, and $20,000 is not a usual amount like you say,

You have to provide to your bank a screenshot of your trade and/or transfer. They may also ask for more information about the source, what is your activity etc. so they will want to ask what activity are you doing. You can say "An exceptional sale" "Payment Family/Friends" whatever you want.

They just don't want to hear "I make illegal stuffs"

Thats interesting, Do you think that this information could be given to outside sources as goverment agencies?


Thats my homecountry :)
First of all , I did not understand , is this your salary, are you planning to recive 20k$ a  month on your bank account?
Or was this one time deal?

In anycase you shuld know that this kind of amount to private account nowadays in our region will be flagged without any hesitation. And nevertheless you should have tought about possible explanation and what kind of taxes you are going to pay.

I think that it would be benefitial if you also asked this on our local Latvian board here: https://bitcointalk.org/index.php?topic=957954.100

I think it may be different in your country. I am afraid you have some restrictions on bitcoin in your country that is why the bank is asking for documents. I suggest you consult a lawyer.

No documents cannot be,because Bitcoin is an anonymous system. I think you have not regulated the legislation on bitcoin,so banks freeze accounts because they do not understand the source of funds. Try to talk to the Bank Manager and resolve the issue.

can I ask what country are you? because here in my country it is not advisable to do that because when they sees that your fund came from cryptocurrency they will really freeze your account and will ask for proofs. For me you better not told about your earning that come from crypto. Now, if you will provide a documents that will prove your income come from crypto, then expect you will not be able to recover your acct anymore.

As there are certain factors of security especially when it is cryptocurrency related it is very common for a bank to require a lot of details regarding your cryptocurrency and how you came to be in posession of it. Giving the required information will help them understand the origin of your funds are legit and not of any fraudulent nature they'll soon verify and give you back access to your account.

Which country is it? I just know if we deposit on Bank, they will freeze our account if connected with crypto. If in my country there are local exchanger to exchange BTC to fiat first then withdraw in bank.

In my country there is a stipulated amount of money a personal account can deposit or withdraw per week and there is amount a cooperate account can deposit or withdraw also per week. To avoid your bank account being block follow the rules strictly. Now that your account have being go to your branch manager with some prove immediately.

I think the Bank flags all tx's above $10 000, but they also know what Bank accounts are used by Bitcoin exchanges, so they will flag those to frustrate Bitcoin users. This is just another example of how Banks <centralized financial organizations>, control people's lives.

The Banks cannot target individual Bitcoin transactions if it is done between two parties, but they can control Bitcoin to Fiat conversions. So the solution might be to stay away from Fiat and only to deal with Bitcoin, if you can.

Jesus dude, you've been transferring 20k Euros a month? How many months were you even able to get away with this? Either way, if you're handling this much money, your best bet would be to hire a lawyer.

You mentioned payslips and I hope you're earning more than 20k a month. Just out of curiosity, what actually is your source of funds? Have you simply been trading crypto, etc.? Exchanges have a trail, and if you could get that, it might help you get off the hook.

There are the crypto files and documents of your exchange and buying memos. You can show this to them. Also, your bitcoin profile and waist number would also be helpful. But if somehow your country doesn't allow bitcoin, then it'll not be easy.

His bank account is frozen so there is nothing he can do now, as soon as that money hits your bank account then it may be labeled as a suspicious transaction and the bank will ask you to explain yourself, this is why it is better to do the explaining before that happens to avoid this scenario.

This is the reason why bitcoin was created  ;D ;D These banks can control our money whenever and however they want. What's the use of our money if we can't even use it.
If bitcoin was as widely adopted as fiat then we didn't had the need to convert BTC to fiat.

For your query, just tell the bank the source of the income. How did you get those BTC whether it was from trading, investing, bounties or airdrops whatever it is. Tell them it's not illegal to earn money through cryptocurrencies and provide them the proof that you have earned it legally and request them to unblock the bank account.

There are a lot of cases in our country that involves the withdrawing of crypto currency to fiat transferred to a bank and the money is being frozen by the bank especially when it is a large amount of money, bank employees will surely ask for proofs that you're money is from a legit source of fund and will ask you to provide documents.
The best thing that the OP can do is to take screenshots of his/her transactions from where did he/she get his funds and print it then provide it to the bank the asks for it. I don't know if the bank officials will accept this kind of documents or proofs but its worth trying rather letting your money be frozen forever.

Moral lesson of this situation is to never cash out a huge amount of money from any bank especially if those banks don't accept crypto currency connected funds.
It's better to cash out a few amounts of money at different days to avoid this kind of situations on banks especially if your country doesn't have a solid ruling on the use and possession of crypto currency related funds. 8)

There is no document that you can provide, since the Bitcoin is an anonymus system. You should check if it is allowed to make such kind of transaction. Try other methods where the bank does not want to check your source of income.

This is quite stupid actions.

You should have known that your account would be flagged. Use local-bitcoins or at least dont do 20k at one time XD.

Either you paid for it with fiat, in which case there'll be either bank transfer details or cash withdrawals to point to. Or you earned it, mined it or were airdropped it on places like this which can be easily demonstrated too.

You didn't magically end up with thousands of Euros in crypto. You obtained it somehow and there'll be a way of proving it.

Money does not come from nowhere. The money comes from a bank and is credited to your account. Apparently this bank does not have a high level of trust, so questions arise from your bank.

Yeah i was in this situation once before and i've provided screenshots of exchanges where i trade and a couple of campaigns i've worked on. I don't know but i think it helps if you also have existing banks accounts to show along with it.

documents commonly used for transactions are passports and ID cards. it is a natural thing to use to see your income in crypto and that avoids the suspicion of the bank to see your transaction.