22 October 2017

NAB turns its back on Bitcoin; cites reputational risks

10 April 2014  |  7253 views  |  0 Sydney Opera House 2

National Australia Bank is to close down accounts held by people trading in bitcoin due to the "unacceptable level of risk" posed to its business and reputation.

The bank has joined others, such as Bank of Ireland and BMO, in taking a hardline policy on bitcoin-related accounts.

NAB has informed affected customers of its change of heart in a letter, saying that it has a responsibility and commitment to continually review its risk profile.

"NAB has recently conducted a review of businesses that trade in digital currencies and has determined that digital currency providers pose an unacceptable level of risk, both to our business and reputation," says the letter, sent to AusBitcoins and seen by Coindesk. "As a result of this review, NAB has decided to stop providing banking services to you and will close your accounts, effective 2nd May 2014."

The move comes just a month after Japanese bank Mizuho found itself caught up in the fall-out from the collapse of MT Gox. As the banker to the defunct bitcoin exchange, Mizuho has been named in two of the numerous lawsuits being brought against the bankrupt company in the US and Canada.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Wall Street industry group swallows Bitcoin red pill

Wall Street industry group swallows Bitcoin red pill

31 March 2014  |  16258 views  |  0 comments | 13 tweets | 5 linkedin
Mizuho faces legal action over MT Gox collapse

Mizuho faces legal action over MT Gox collapse

17 March 2014  |  4570 views  |  0 comments | 4 tweets | 8 linkedin
Bitcoin not a currency but has tech potential - Goldman Sachs

Bitcoin not a currency but has tech potential - Goldman Sachs

13 March 2014  |  9908 views  |  7 comments | 10 tweets | 5 linkedin
Bank of Ireland rejects bitcoin ATM firm's account request

Bank of Ireland rejects bitcoin ATM firm's account request

11 March 2014  |  4795 views  |  0 comments | 7 tweets | 7 linkedin
Forget bitcoin, let's ban hard cash urges US congressman

Forget bitcoin, let's ban hard cash urges US congressman

07 March 2014  |  7414 views  |  6 comments | 16 tweets | 15 linkedin
BMO closes the door on bitcoin businesses

BMO closes the door on bitcoin businesses

19 February 2014  |  5592 views  |  0 comments | 7 tweets | 6 linkedin
Standard Bank tests current account-linked bitcoin wallet

Standard Bank tests current account-linked bitcoin wallet

11 February 2014  |  16178 views  |  2 comments | 14 tweets | 13 linkedin
Wells Fargo and JPMorgan take contrasting stance on bitcoin

Wells Fargo and JPMorgan take contrasting stance on bitcoin

24 January 2014  |  14380 views  |  2 comments | 11 tweets | 14 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.vasco.comRegister nowvisit www.fivedegrees.nl

Top topics

Most viewed Most shared
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
10502 views comments | 22 tweets | 26 linkedin
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
10017 views comments | 17 tweets | 24 linkedin
satelliteGates Foundation backs Ripple collaboratio...
9063 views comments | 13 tweets | 10 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
8135 views comments | 9 tweets | 17 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
7920 views comments | 10 tweets | 22 linkedin

Featured job

circa £250K total package
London

Find your next job