Westpac announced that beginning 1 December 2026, the bank will restrict how much Australian‑dollar cash its retail customers can send to cryptocurrency exchanges. The new rule caps outbound payments that the bank reasonably identifies as exchange transfers at a cumulative A$10,000 per customer each calendar month, and the limit applies across all of the customer’s Westpac accounts. The policy is being introduced as part of the bank’s broader effort to curb fraud, after a national report linked nearly half of all scam losses in 2025 to crypto‑related schemes.

Scope and mechanics of the limit

According to Westpac’s website, the ceiling will be enforced on payments made through online banking, the Westpac mobile app, and both debit and credit cards, though the bank notes that the specific products covered may change over time. Joint‑account holders receive separate limits, each entitled to A$10,000 per month. The bank will not provide a public list of the exchanges it monitors, and it will not support in‑branch cash transfers to exchanges once the policy takes effect. If a customer reaches the cap, any further payments to an identified exchange may be rejected until the next calendar month, and Westpac has stated that it will not grant exemptions or raise the limit for any individual.

What remains unchanged

The restriction only applies to outbound transfers; withdrawals from crypto exchanges back into Westpac accounts are not affected, the bank said. Customers are advised to check with their chosen exchange for any inbound limits that may apply on that side of the transaction. Westpac also clarified that it cannot guarantee that a payment exceeding the A$10,000 threshold will be blocked, but it will “reasonably identify” such payments and apply the cap accordingly.

Context and industry response

Westpac’s move follows a similar policy announced by the Commonwealth Bank of Australia in 2023, which also set a A$10,000 monthly ceiling on crypto‑related payments. The bank cited the National Anti‑Scam Centre’s Targeting Scams Report 2025, which recorded crypto‑related fraud accounting for 46% of all reported scam losses in the previous year. By imposing a fixed dollar limit, Westpac aims to reduce the volume of funds that can be quickly moved to illicit destinations, acknowledging that once crypto assets are transferred, they are difficult to recover. The policy has drawn attention from industry observers, with The Defiant noting the new cap and Unchained highlighting the lack of exemptions for high‑volume users.

What to watch next

Analysts will monitor how Westpac’s customers adapt to the monthly ceiling, especially active traders who regularly move larger sums into exchanges. Future updates may clarify which exchanges are flagged by the bank and whether other Australian financial institutions adopt comparable limits. Additionally, regulatory bodies could consider broader measures if the cap proves insufficient to stem crypto‑related scams.

Sources

This article was prepared by the CoinMag newsroom from the reports listed above.