Coinbase criticizes Australian banks over crypto debanking

Coinbase accuses Australia’s major banks of debanking crypto firms, citing account closures and transaction blocks as threats to competition and trust in the sector.

Coinbase has accused Australia’s major banks of systematically restricting access to financial services for crypto and fintech companies, a practice known as “debanking.” In submissions to federal inquiries, Coinbase claims these banks are closing accounts and blocking transactions related to digital assets, often citing anti-money laundering and scam prevention as reasons. The exchange argues that such measures have become a systemic feature of Australia’s financial landscape, disproportionately impacting legitimate businesses and undermining competition and trust in the economy. Reports suggest up to 60% of fintech firms have faced banking denials, with the “big four” banks—Commonwealth Bank, Westpac, ANZ, and National Australia Bank—specifically named. Coinbase highlights the lack of transparency and clear mandates for these restrictions, which creates operational challenges for crypto enterprises and limits retail investors’ ability to move funds. As regulatory changes approach, Coinbase calls for reforms to ensure fair banking access for the digital asset sector.