Bulgaria Shuts Down Bitcoin Exchanges in Banking Crackdown

Bulgaria Shuts Down Bitcoin Exchanges in Banking Crackdown. Notably, the drastic move by Bulgarian officials has been carried out without any notice. What else do we know?

8 December, AtoZForex Bulgarian officials have decided to go all-in in regards to the cryptocurrency exchanges across the country. Specifically, Bulgaria is currently implementing a crackdown on the digital currency exchanges.

Bulgaria Shuts Down Bitcoin Exchanges in Banking Crackdown

In a sudden move, Bulgarian banks have been shutting down the local websites that offer customers opportunity to trade cryptocurrency. Moreover, the banks have banned bank access to the websites. In fact, they are not allowing them to transfer funds to foreign exchanges. The Bulgarian cryptocurrency exchange ban has been enacted without any official notice by authorities.

In addition, local cryptocurrency exchanges did not receive any explanation from the financial institutions. The online reports state that First Investment Bank in Bulgaria has been the first one the block the accounts of the several local exchanges. These include crypto.bg, cryptobank.bg and cix.bg.

As of the moment, the forum of the former exchange states that the bank is in the process of unfreezing its account.

Bulgaria Shuts Down Bitcoin Exchanges

After the local exchanges’ accounts have been frozen, some of the companies have carried on with the operations. They have been using alternative payment systems. Yet, as of now, all of the trading on the Bulgarian cryptocurrency exchanges has been halted.

What do officials say about Bulgaria Cryptocurrency exchanges shut down?

Additionally, the Bulgarian Bitcoin Association states that the banks have also disabled clients to make transfers to the foreign exchanges. In the official statement, the organization highlights that there is no existing legal basis for the actions of Bulgarian banks.

The official website of the Bulgarian Central bank and the Financial Supervisory Authority of Bulgaria do not mention anything in regards to the latest developments in the country.

Yet, it is known that the country is planning to launch a new payment system legislation. The new law would come into force at the beginning of the upcoming year.

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