Bitcoin and cashing out with UK Banks

[Nelson_Smithers]

I’ve cashed out fairly modest amounts of GBP from Coinbase into one of the regular high st banks with no issues many times, but I’m concerned that when I decide to cash out a more sizeable amount, the bank my block this. I’m ok having them ask questions as they should be able to see a fair amount of outflows from the banks in GBP to Coinbase but wondered what others experiences have been and the sort of thresholds that will trigger some sort of intervention from the bank?

[1715103701]

1715103701

[jackg]

They probably don't care but:

The fatf puts a limit of £1000 on cryptocurrencies which came into force in the UK.
The UK also has a limit of doing £15k/transactuon before "potentially" requiring aml info. The government have kept everything pretty legally grey in this space so it's hard to work out what they actually care about. I haven't gone over about £12k from coinbase to bank. Realistically the onus is on the exchange as its accounts are the ones taking the funds and the ones who should be blocking illegal activities.

[Nelson_Smithers]

Thanks for the reply

[cheezcarls]

I’ve cashed out fairly modest amounts of GBP from Coinbase into one of the regular high st banks with no issues many times, but I’m concerned that when I decide to cash out a more sizeable amount, the bank my block this. I’m ok having them ask questions as they should be able to see a fair amount of outflows from the banks in GBP to Coinbase but wondered what others experiences have been and the sort of thresholds that will trigger some sort of intervention from the bank?

I think you might wanna check this out on why it’s now difficult for UK residents to cashout their crypto to banks:

Source link here: https://www.crypto-news-flash.com/bitcoin-investors-get-banned-from-uk-banks/

I am not sure if there are still a handful of UK banks who remain friendly and accepting deposits from a crypto wallet. Maybe small banks I think. If I were in that situation, I would rather order a crypto debit card from Binance, BTSE, Crypterium, etc., which we can withdraw our assets in any bank ATM. Unless there are so many crypto ATMs being deployed in UK, that won’t be a problem once it’s fully regulated.

[Terrell]

Cryptocurrency holders can now cash out their bitcoin at 16,000 ATMs across the UK thanks to a collaboration between East London-based Cryptocurrency company BitcoinPoint and independent cash machine operator Cashzone.

[aoluain]

The largest amount I ever transferred from Coinbase was €3800 back in 2017
into an Irish bank and there were no questions asked and no TAX implications either!

I would imaging as the amount increases so too do the alarm bells.

[Lorence.xD]

Just don't pull out that much or put a big amount of money in your bank and do not frequent in doing so, that's the start when they notice something, take the maximum amount that does not raise eyebrows and even if you don't do it, they will not have any right to block your money because you did not do anything wrong. The only time that you will have to be afraid is when you did something wrong and you know that it will raise some suspicion. If you aren't feeling comfort about your banks taking notes on your cash outs, then you might consider P2P or physically trade with someone with cash.

[buwaytress]

They probably don't care but:

The fatf puts a limit of £1000 on cryptocurrencies which came into force in the UK.
The UK also has a limit of doing £15k/transactuon before "potentially" requiring aml info. The government have kept everything pretty legally grey in this space so it's hard to work out what they actually care about. I haven't gone over about £12k from coinbase to bank. Realistically the onus is on the exchange as its accounts are the ones taking the funds and the ones who should be blocking illegal activities.

From my own experience, yeah they haven't started caring (not sure if Brexit has had an impact) but definitely not to the people I know am trading with. I've mentioned before that now exchanges are getting a bit titchy in the EU, requests for Proof of Funds now coming to me from 3 exchanges. Varying levels of difficulty in satisfying their requirements, but have to note that these come from crypto deposits rather than cash outs (which they freeze until PoF is satisfied).

Like you said, the onus is on the exchange, and for the banks, if the exchanges have satisfied AMLD5 -- and this usually means at most the bank calling up the exchange (as the originator of the tx) rather than you as the recipient.

[Theb]

Based from my experience and what I read some banks have different rules on their own regarding crypto related deposits and if you want to be safe the best action is for you to just ask their customer support with your concern which I think will they will answer correctly. For instance I don't think they would lie about a threshold or answering if they accept crypto related fiat deposits or not. Also make sure that who you are asking knows what you are talking about and is not only saying yes from your answers. Other than that check for online sources if that particular bank blocks someones deposit in relation to your transaction so you have a clearer picture before knowing if it is safe to deposit your money in their bank.

[Miaallen]

Just like every bank or governmental agencies want to know and be sure the funds entering and individual account is from a legitimate source, withdrawing huge funds from a crypto currency website might attract the bank authority to it and thereby get your bank blocked until some questions are answered. And since you're OK if they want to ask questions, you should be able to withdraw straight into your bank account from whichever crypto exchanges.

[habo8]

I’ve cashed out fairly modest amounts of GBP from Coinbase into one of the regular high st banks with no issues many times, but I’m concerned that when I decide to cash out a more sizeable amount, the bank my block this. I’m ok having them ask questions as they should be able to see a fair amount of outflows from the banks in GBP to Coinbase but wondered what others experiences have been and the sort of thresholds that will trigger some sort of intervention from the bank?

Every country has planned to not to go money out of their country or economy so that is why the put limitations on banking systems to avoid this flow of money out of economy.

[Streets 2.0]

I think while we are talking about small amounts - no one will ask unnecessary questions, but if the amounts are above a certain limit - the interest of the tax service, and maybe not only this service, will be provided. Therefore, the golden rule "The slower you go - you will go far" works flawlessly here! Seriously, it's better to get advice from a financial lawyer and immediately clarify all the points. The main thing is to be in the legal field and not violate UK laws.