“PrivatBank” has started to block the accounts of Ukrainians suspected of buying and selling cryptocurrencies

PrivatBank in Ukraine has begun blocking and forcibly closing the accounts of individuals suspected of buying or selling cryptocurrencies.

This information was unofficially reported by the bank itself, and clients have also confirmed it in their complaints on financial websites.

People are confused about why they are being punished, stating that they had previously bought cryptocurrency using PrivatBank cards, and everything went smoothly.

One client of PrivatBank said, “I have been working with the bank for more than 20 years, almost since its establishment. There have been no special problems with the bank. This month, I made many cryptocurrency exchange transactions on the P2P system on the BaiBit exchange, and the bank refused to continue servicing me and suggested returning the funds. But I haven’t done anything illegal.”

“I received a payment through the Aliexpress affiliate program in dollars, a little less than a hundred. I transferred $40 to the Zenli e-wallet. Maybe this is a violation? I received several transfers in hryvnias for the sale of digital goods. At least explain what the problem is. And I wouldn’t have done it if they just told me. Why block the account right away?” wonders another PrivatBank client, Igor.

PrivatBank has not conducted client communications and explanations regarding cryptocurrency payments. Unofficially, the bank acknowledges that until recently, its clients freely paid for cryptocurrencies from their accounts, and the decision to block accounts was made in the last few weeks. The motive behind this is the requirements of financial monitoring.

According to PrivatBank’s official comment on the account closures, “According to the law ‘On prevention and counteraction to the legalization (laundering) of proceeds from crime,’ the bank must ensure the identification of transactions subject to financial monitoring before and during their conduct.”