Brazilian Leading Commercial Bank May Withdraw Crypto Exchanges Services

News / 11.01.2020

A Brazilian bank, known as Banco Bradescohas, recently rejected an agreement hindering the closure of crypto exchanges accounts. Banco Bradescohas’s recent act could mean it is completely cutting ties with the cryptocurrency exchanges.

The fact that Banco Bradescohas is a renowned bank in Brazil may negatively affect the country’s cryptocurrency domain after the bank shunned the agreement. In December 2019, the Administrative Council of Economic Defense of Brazil clarified that withdrawal of bank services offered to crypto exchanges is not a crime.

On the other hand, the Brazilian Association of Cryptocurrencies and Blockchain (ABCD) pointed out that denying crypto exchanges services consists of darkness, contradictions, and omissions. Banco Bradescohas ignored the agreement concerning crypto exchanges because the bank thinks that cryptos present risks of money laundering.

More Banks Across the World to Withdraw Crypto Exchanges Services

A bank in Chile is also following Banco Bradescohas’s route. This Chilean bank, known as Banco de Credito e Inversiones, is moving towards the closure of a cryptocurrency exchange. The crypto exchange is known as Chilebit, and it is a pioneering exchange in Chile.

The Chilean bank sent an official letter to Chilebit and gave the crypto exchange a 15 days notice to its closure. The bank, however, did not mention what led to its decision. Other crypto exchanges, especially across Europe, are experiencing regulatory problems since imminent AML regulations stipulate collecting additional data from their clients.

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Born in Bucharest, Marius is the founder of Crypto Adventure. Since his first contact with Bitcoin and cryptocurrencies, he never stopped believing that they are one of the most important innovations of our time, which will forever change the way business is done.