CoinPaprika
Jan 9, 2025
0 0

Portugal’s BiG Bank Halts Fiat Transfers to Cryptocurrency Platforms

Banco de Investimentos Globais (BiG) has halted fiat transfers to cryptocurrency platforms, citing compliance with European regulations. This decision reflects increased regulatory scrutiny and aligns with directives from the European Central Bank, the European Banking Authority, and the Bank of Portugal. Key points include:

  • BiG emphasizes adherence to anti-money laundering and counter-terrorism financing rules.
  • Other banks in Portugal, like Caixa Geral de Depósitos, still facilitate these transfers.
  • The move coincides with a new 28% capital gains tax on short-term crypto holdings in Portugal.
  • This action follows the EU's Markets in Crypto-Assets Regulation (MiCA), which aims for a unified digital asset framework across Europe.

Critics argue that this restrictive approach may push individuals towards decentralized finance (DeFi). José Maria Macedo labeled the decision as an abuse of power, while Mario Nawfar noted its timing alongside new crypto tax laws encouraging exploration of DeFi alternatives.

In contrast, other European countries are expanding their crypto services under MiCA. Notable developments include:

  • The Czech central bank considering Bitcoin for foreign exchange reserves.
  • France’s BPCE planning to introduce crypto services in 2025.
  • Germany's Deutsche Bank working on blockchain compliance solutions.
  • Swiss banks actively offering crypto trading services.

BiG’s actions highlight a divergence within Europe, where many banks are embracing crypto under MiCA's framework. The future of Portugal's regulatory stance remains uncertain, balancing its previous image as a crypto-friendly nation against new restrictions.