Bitcoin Accounts Frozen As Australia Banks Crack Down on Crypto

[glaciercapital]

Cryptocurrency investors in Australia are claiming several big banks are freezing their accounts and any transfers to outside exchanges.. A report in the Sydney Morning Herald quotes a cryptocurrency trader named Alex Saunders, who says the National Australia Bank, ANZ, the Commonwealth Bank of Australia and Westpac Banking Corporation have been freezing customer accounts and transfers to four different bitcoin exchanges  – .  Banks Crack Down on Crypto appeared first on BlockTribune.

http://blocktribune.com/bitcoin-accounts-frozen-australia-banks-crack-crypto/

this is good news banks start to be worried about bitcoin. also some news from south Korea support this news

 global fight will start between bitcoin and banks

Not good news for those of us in Aus, the 4 big banks control most of the market. It will make new crypto purchases very difficult

[LeGaulois]

I doubt the authenticity of this news. I have crypto lover friends their in Australia who I confirmed it with and they said they never heard of any such thing happened there in Australia so I guess it is some sort of fud.

Hmm... See this, it looks like it's not a fake news. Maybe your friends haven't done a transactions recently so have not yet suffered from this ban in Australia. I am interested to know what is the final output from this. If this is general it will be a very bad news.:/



https://twitter.com/BitcoinBabeAU/status/946575047254204417/photo/1

Commonwealth Bank’s June 2017 terms and conditions for CommBiz accounts specifically excludes this activity, saying it can refuse to process an international money transfer or an international cash management transaction “because the destination account previously has been connected to a fraud or an attempted fraudulent transaction or is an account used to facilitate payments to Bitcoins or similar virtual currency payment services

http://www.smh.com.au/business/bitcoin-tensions-rise-as-investors-claim-banks-freezing-their-accounts-20171229-p4yy3z.html

[khaled0111]

I don't know about Australian regulations and whether they tolerate the use of cryptocurrency or not but the article didn't talk about official ban of cryptocurrency.
Banks aer freezing accounts related to Bitcoin exchanges because of security risks.
It is just a trader who spread the news. Waiting for a more official statement.

[Adbitco]

I doubt the authenticity of this news. I have crypto lover friends their in Australia who I confirmed it with and they said they never heard of any such thing happened there in Australia so I guess it is some sort of fud.

Hmm... See this, it looks like it's not a fake news. Maybe your friends haven't done a transactions recently so have not yet suffered from this ban in Australia. I am interested to know what is the final output from this. If this is general it will be a very bad news.:/



https://twitter.com/BitcoinBabeAU/status/946575047254204417/photo/1

Commonwealth Bank’s June 2017 terms and conditions for CommBiz accounts specifically excludes this activity, saying it can refuse to process an international money transfer or an international cash management transaction “because the destination account previously has been connected to a fraud or an attempted fraudulent transaction or is an account used to facilitate payments to Bitcoins or similar virtual currency payment services

http://www.smh.com.au/business/bitcoin-tensions-rise-as-investors-claim-banks-freezing-their-accounts-20171229-p4yy3z.html

You might be correct, I'll try to talk to my Australian friends in detail about it and try to learn more about it. Thanks for the info you provide above for all of us to learn more about such rules and regulations in Australia.

[tomahawk9]

Well, all the more reason to take your money out of the banks. And even more reasons to stop storing your BTC in exchanges, Seriously, I've seen countless of posts in every bitcoin forum on the internet saying that you should not keep your Bitcoin on exchanges as there's the risk that they will share your private info to 3rd parties.

I doubt the authenticity of this news. I have crypto lover friends their in Australia who I confirmed it with and they said they never heard of any such thing happened there in Australia so I guess it is some sort of fud.

Hmm... See this, it looks like it's not a fake news. Maybe your friends haven't done a transactions recently so have not yet suffered from this ban in Australia. I am interested to know what is the final output from this. If this is general it will be a very bad news.:/

https://pbs.twimg.com/media/DSLohPrU8AM8yB2.jpg:smallhttps://pbs.twimg.com/media/DSLohPrUEAAjwwD.jpg:small

https://twitter.com/BitcoinBabeAU/status/946575047254204417/photo/1

Commonwealth Bank’s June 2017 terms and conditions for CommBiz accounts specifically excludes this activity, saying it can refuse to process an international money transfer or an international cash management transaction “because the destination account previously has been connected to a fraud or an attempted fraudulent transaction or is an account used to facilitate payments to Bitcoins or similar virtual currency payment services

http://www.smh.com.au/business/bitcoin-tensions-rise-as-investors-claim-banks-freezing-their-accounts-20171229-p4yy3z.html

Wow, that news article couldn't be more biased: "Bitcoin, a currency once known for its use by criminals trading online through a ‘Silk Road’ for drugs and weapons, has become a popular investment option."

Really? is that all they know about Bitcoin? why can't they mention anything from the present?  I'm pretty sure that the govt and big financial institutions in Australia are using the 'Sydney Morning Herald' as a tool to spread FUD and scared tactics about Bitcoin. Absolutely disgusting.

And this over here, from the article: "A Commonwealth Bank spokesman said “however, we do not currently use or recommend any existing virtual currencies as we do not believe they have yet met a minimum standard of regulation, reliability, and reputation compared to other currencies that we offer to our customers"

It's all about keeping the ponzi fiat alive, it's about the Commonwealth Bank being scared that the customers might start putting their savings outside the system.

[bitart]

Well, all the more reason to take your money out of the banks. And even more reasons to stop storing your BTC in exchanges, Seriously, I've seen countless of posts in every bitcoin forum on the internet saying that you should not keep your Bitcoin on exchanges as there's the risk that they will share your private info to 3rd parties.

...

Wow, that news article couldn't be more biased: "Bitcoin, a currency once known for its use by criminals trading online through a ‘Silk Road’ for drugs and weapons, has become a popular investment option."

Really? is that all they know about Bitcoin? why can't they mention anything from the present?  I'm pretty sure that the govt and big financial institutions in Australia are using the 'Sydney Morning Herald' as a tool to spread FUD and scared tactics about Bitcoin. Absolutely disgusting.

And this over here, from the article: "A Commonwealth Bank spokesman said “however, we do not currently use or recommend any existing virtual currencies as we do not believe they have yet met a minimum standard of regulation, reliability, and reputation compared to other currencies that we offer to our customers"

It's all about keeping the ponzi fiat alive, it's about the Commonwealth Bank being scared that the customers might start putting their savings outside the system.

There are two different risks that has been mentioned in the topic and seemt that they have a connection, but they are totally different:

1. Every 5th post is about not to store the coins on the exchange, because of the risk.
Should store large amount of your coins on an exchange - Definitely no. But not because of exchanges are reporting to governments (possible, but this is not the biggest risk). The biggest risk is that an exhange can close in every second and run away with your coins or get hacked and someone will run away with your coins. (or the exchange ask someone to hack and share 50%-50% )

2. I've read similar posts about banks who close the account because of receiving fiat from bitcoin exchanges (or not entirely closing the account but just not accepting the transfer from bitcoin exchanges and returns the transaction).
Should you wire back fiat to your bank account from an excange - Your decision, but it was a working solution before. If banks and government want to cause serious problem to bitcoin, they can just cut these transfer lines from exchanges to induvidual accounts, and they will force people to use their bitcoins somehow differently. (If LN will go live and you will be able to buy a coffee for bitcoin then this will not be a serious problem anymore, but until then, it can cause us headache...)

[gentlemand]

I'm surprised there hasn't been more of this worldwide really. At this moment in time there's little upside for banks and a whole lot of head aches. If they do go all out it'll wind up like China and go full P2P. There's not much the banks can do about that.

[abhishekb]

Shall we not look at this as a crackdown on Bitcoin just because it is not controllable by the government? Are we looking at more and more countries going the China way?

[audaciousbeing]

Cryptocurrency investors in Australia are claiming several big banks are freezing their accounts and any transfers to outside exchanges.. A report in the Sydney Morning Herald quotes a cryptocurrency trader named Alex Saunders, who says the National Australia Bank, ANZ, the Commonwealth Bank of Australia and Westpac Banking Corporation have been freezing customer accounts and transfers to four different bitcoin exchanges  – .  Banks Crack Down on Crypto appeared first on BlockTribune.

http://blocktribune.com/bitcoin-accounts-frozen-australia-banks-crack-crypto/

Its finally happening when a lot of people were predicting about the happenings and expectations for bitcoin in 2018, my argument was actually tilted towards this direction in that when government realises that their controls are becoming ineffective and that the dominance of bitcoin is now changing their highly revered social structure, they take the easy way out which is what the Australian government is doing at this time.

However, I don't see this as something to lose sleep over because they shut a door to do it via government known sources, they would then open up the opportunity to do it without their poking eyes or even without them knowing just by trading among citizens and still transferring to individual bank accounts since they can stop citizens from sending and receiving money from each other.

[Maveth13]

These kind of things were bound to happen. It's actually surprising that it's just happening on only few countries. I think the reason for this always goes down to a mix of greed and security.
With the current trend and price of bitcoin, you can't expect the government and banks to just shrug off the lost(or potentially at least) money and huge amounts of it that they are not in control.
On the other hand, you also can't deny that bitcoin isn't being used in illegal activities. You also can't expect to earn huge profit and not be taxed.

[icanscript]

This is just the beginning of the war of fiat money with crypto currency.
2018, will present us many more unpleasant gifts.

[ajmapalo22]

The issue between banks and bitcoin is getting worst and it would be very difficult for people to keep their bitcoin. They will need to find for another way to transfer their bitcoin and use it as a fiat. I think some governments are really serious to look for a way they can control bitcoin. Banks are getting strict with cryptos because it is really a threat for them good thing my country did not make any move like this.

[squatter]

And this over here, from the article: "A Commonwealth Bank spokesman said “however, we do not currently use or recommend any existing virtual currencies as we do not believe they have yet met a minimum standard of regulation, reliability, and reputation compared to other currencies that we offer to our customers"

It's all about keeping the ponzi fiat alive, it's about the Commonwealth Bank being scared that the customers might start putting their savings outside the system.

To be fair, try to look at this from their perspective. If I were a manager at a large national bank, I would be extremely nervous about hundreds of millions of dollars in inflows and outflows to/from Bitcoin exchanges. I know there was a bill introduced earlier in the year regarding exchange regulation, but I believe nothing was passed.

So this is all still somewhat of a grey area in Australia. When the sector was tiny, the amounts of money were so small that it wasn't a major AML concern. But Bitcoin isn't tiny anymore. Major banks might be putting their ass on the line by acting as intermediaries for large exchange operations that may or may not be legitimate. Not sure how money transmitter licenses work over their either.

I'm surprised there hasn't been more of this worldwide really. At this moment in time there's little upside for banks and a whole lot of head aches. If they do go all out it'll wind up like China and go full P2P. There's not much the banks can do about that.

I think we'll see major crackdowns in the next year or two. I wonder how many of the early generation exchanges and businesses will survive. A lot of businesses could be crushed by compliance costs when targeted regulations start coming down the pipeline.

[stompix]

I call this BS.

Guys trying to score youtube hits and fb likes.

One Twitter user, Michaela Juric who goes by the name Bitcoin Babe, said she had business accounts closed by 30 banks and posted a picture of a letter from ANZ, saying it was closing her accounts effective 30 January 2018 in accordance with its terms and conditions

There are 32 banks in Australia (excluding subsidiaries).
Are you going to believe she has gone to every bank and they all closed her account?

I'm sure their where involved in something fishy, moving large sums of money using personal accounts to avoid fees for a business account.

[QuestionAuthority]

The Australian dislike for bitcoin put Jeremy from SpendBitcoins out of business long ago. This is not “fake” news this is old news.

[Spoetnik]

I doubt the authenticity of this news. I have crypto lover friends their in Australia who I confirmed it with and they said they never heard of any such thing happened there in Australia so I guess it is some sort of fud.

The same has been said of Paypal.
And i found out the hard way.. they seized my account and took about 5 grand.
They put me through hell for around 2.5 months of stringing me along with an inquisition.
I had no idea it was against their TOS (using any crypto coins with their service)
The staff here have deliberately tried to hide the fact for around 6 years.
They gladly put a sticky here warning about "Chargebacks" but not that if your caught you could lose your money etc
After i got it resolved with my lawyer i ran into a guy in IRC who said he was out 128k for over a year fighting them.
Get it yet ?
It's FUD until your caught.. not everyone is caught all the time guys.
And if you did your homework before running here to chant "FUD" like a retard you would learn AML laws are typically triggered by doing a minimum amount transfer.
For example in the USA / Florida i think it's 10 grand or maybe 30 grand i forgot (Google it)
Point being is you WILL get flagged silently by an exchange potentially when others will not when moving larger amounts of money.
What is 2 BTC worth ? over 30k ?

Don't pretend to be smart.
Be smart.

When you are warned listen.
When i got my email from Paypal about the TOS violation i Google'd part of it and guess what i seen ?
A guy here on this forum who got the same damn email from them.
Yup.. it was common knowledge here all along going back that many years.
yet look around see a few hundred topics on it offering to buy and sell with PP ?
Some of them told me they keep getting caught then just make a new PP account.

Crying FUD ?
No you are fraudulent lying slithering deceitful little criminals violating real laws.
And you will be fucking dealt with.

Hey snot nose little pukes.. you might want to review Mommy's tax return and make sure you paid your taxes.
After the big rise in price with BTC a lot of you owe the tax man a fortune now.
And i'd pick a fight with a Hell's Angel in a bar before i fought the tax man.
Ever had your wages garnished ?
I've done both and dealing with the biker was easier than the Canadian Tax service  
Al Capone ring a bell ?

http://www.coindesk.com/localbitcoins-users-criminal-charges-florida/
http://www.coindesk.com/irs-bitcoin-tax-guidelines-mean/
http://www.coindesk.com/canada-revenue-agency-tax-rules-apply-bitcoin/
http://www.coindesk.com/coinbase-users-court-bitcoin-irs/

Get smart investards.

[Ninapz]

I am a new here, so i might ask an obvious question. Is there a way to bypass banks in the process. Lets say transfer crypto to fiat and back on the exchange and then deposit the money in bank? I presume that works for smaller amounts...

[stompix]

I am a new here, so i might ask an obvious question. Is there a way to bypass banks in the process. Lets say transfer crypto to fiat and back on the exchange and then deposit the money in bank? I presume that works for smaller amounts...

The way you thought of it of course not.
How do you bypass a bank when you are going to deposit your fiat there?
You say crypto to fiat back on exchnges, how do you deposit how do you withdraw ?


The problem are not the banks , the problem is that exchanges don't offer other ways of depositing money fast and cheap other than banks.
Your only way to avoid banks is to go and deal in cash via local bitcoins.
Kind of ironic....using banks which are the "enemy" of BTC to actually buy BTC.And then complain that there is no other way...

[monergo]

will 2018 be the year where gov will go crazy over crypto?

[Spoetnik]

I am a new here, so i might ask an obvious question. Is there a way to bypass banks in the process. Lets say transfer crypto to fiat and back on the exchange and then deposit the money in bank? I presume that works for smaller amounts...

The way you thought of it of course not.
How do you bypass a bank when you are going to deposit your fiat there?
You say crypto to fiat back on exchnges, how do you deposit how do you withdraw ?


The problem are not the banks , the problem is that exchanges don't offer other ways of depositing money fast and cheap other than banks.
Your only way to avoid banks is to go and deal in cash via local bitcoins.
Kind of ironic....using banks which are the "enemy" of BTC to actually buy BTC.And then complain that there is no other way...

Localbitcoins has always used a wide variety of services OTHER than cash.
And funny enough it's cash deals that i never tried there.
I've done Banks, Western Union and Interac eTransfer with Localbitcoins.

If Banks are the enemy why is the world pumping up the scam coin called Ripple then ?
Don't fake ideology people.. live it !