Australian crypto industry body denounces banking restrictions.

Blockchain industry members in Australia are opposing recent restrictions imposed by local banks on cryptocurrency payments.

The industry association, Blockchain Australia, called out the restrictions and announced on Wednesday that it wants to address the issue “directly by using real data.”

Australia has recently experienced a series of incidents where banking partners have blocked payments to cryptocurrency exchanges. Commonwealth Bank (CBA) placed partial restrictions last week citing “scams and the amount of money lost by customers.” Binance Australia also stopped Australian dollar (AUD) deposits and withdrawals by bank transfer earlier this month “due to a decision made” by a third-party payment service provider.

“The recent decision by banking institutions to restrict millions of their customers from making payments to cryptocurrency exchanges represents a profound curtailment of economic freedom in Australia,” said Jackson Zeng, director of Blockchain Australia. “Every individual has the inherent right … to make decisions on how and where to use their finances … The principal role of banks is to facilitate these decisions, not to impose restrictions upon them.”

The industry association has decided to hold a roundtable discussion during Blockchain Week in Australia on June 27th to discuss the issue with policymakers, including Assistant Treasurer and Minister for Financial Services Stephen Jones and the Australian Securities and Investment Commission, potentially.

The announcement said, “Blockchain Australia considers that blanket restrictions have very costly side effects, not only limiting consumer’s use of their own money, but also shifting the behavior of those at risk of scams or fraud into another type of scam or fraud which may be harder to detect.”

The association plans to begin an education program for consumers on cryptocurrencies and their benefits, as well as how to identify scams and recognize trustworthy actors in the industry, and seek recognition of those practices by the banks.

The announcement added that getting “banks to provide opt-in protection and education to users, or provide targeted approaches to specific categories of at-risk customers with appropriate education and notification,” may be a “more effective” solution to reducing crypto-related scams without payment restrictions.

Read More: Binance Australia Stops AUD Bank Transfers as Search for Payment Partner Drags On

Edited by Sandali Handagama.

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