NatWest Limits Cryptocurrency Payments Amid Fraud Fears

NatWest is restricting cryptocurrency payments amid fears of a growing number of scams.

The cost of living crisis is also having an impact, the bank said, as criminals use promises of high returns to lure investors.

A daily limit of £1,000 and a maximum of £5,000 over 30 days apply to help protect clients from losing life-changing sums of money.

Cryptocurrency investments are often made through legitimate exchange platforms, allowing customers to buy, sell, or exchange cryptocurrency for another digital currency or traditional currency, according to NatWest.

She added that criminals play on the basis of a lack of understanding and unpredictability of how cryptocurrency markets work, to encourage investors to transfer funds to exchanges, which are often generated in the name of the customer by the criminal or the victim, under coercion from the criminal.

“We have seen an increase in the number of scams using cryptocurrency exchanges and we are working to protect our customers,” said Stuart Skinner, NatWest’s Head of Fraud Protection.

NatWest has some tips to help avoid falling victim to a cryptocurrency scam:

1. Never share your cryptocurrency wallet password with anyone, even if your cryptocurrency investor/contact says they need it to deposit funds into your wallet.

2. Read all the information slowly. Do not rush to invest due to market volatility. This is an opportunity to look for spelling and grammatical errors on a fake website.

3. Beware of giveaways. Cryptocriminals use fake messages from well-known companies and celebrities to promote gifts to fake accounts. They often have fake positive responses within the ad which makes it appear more legitimate.