I do a lot of crypto dealing (for 5 years now) and I moved to Monzo after having a lot of issues with Barclays
Recently I sold all my holdings and although I fully intended to get back into the market if the prices dropped, I put the money back in the bank for safe keeping rather than risk leaving it on the exchange.
A week later prices had dropped significantly so I decided I wanted to get back in. Trouble is Monzo blocked my transfers of funds. I couldn’t act for an entire day and actually lost about £3000 from what would have been a purchase and possible sale again the next day.
When I spoke to fraud team I said to them that I totally understand that they are trying to protect my money but in future I will be frightened to put funds back into my bank and will have no choice but to leave them on the exchange (which is risky). Ultimately if I make money in dealing then eventually the money will come back as fiat into the monzo bank account but I am fast losing trust in the bank and will probably end up placing the fiat somewhere else.
The fraud team have tried to call me back but I’m at work and cannot take calls. So I have to message them on the app and ask them to call me in my free time.
It’s a nightmare trying to do anything other than buy shopping and pay a few bills.
I understand they are trying to protect my account but I spoke to them 2 days ago and explained the sort of transactions I do and they have allowed me to do 3 of them but now block the 4th one.
Monzo can’t switch off risk based events on your account in this manner, unfortunately all banks are aligned in fraud prevention as you had with Barclays.
You might fair better with a Revolut account for trading activities, and keep Monzo etc as your bills and day to day.
HSBC tend to be more crypto-friendly than most banks. I’m not a crypto guy - I’m with @Revels RE: their Magic Beans view. I do have a close friend who is obsessed with crypto though.
First Direct are also an option depending on your volume. FD will allow up to £10,000 in any 30 day rolling period for crypto-related payments (max of £2,500 per day).
People that still call crypto magic beans are brain dead. It’s a bonafide asset class worth trillions - it is here to stay, and the user who started the post has a point.
He/she should be able to move their money however they wish without judgement from their bank. Ironically, this is one of the reasons that crypto exists.
On the flip, if the customer was duped into sending it into the exchange, they go to the bank to say why didn’t they stop it and expect their money back.
It’s not the bank giving a toss where you spend your money, it’s preventative care (albeit frustrating) to protect both sides.
How the process can be changed to make it more secure, who knows.