Starling Bank banned crypto but left financial system ‘open to criminals’
Starling, the online bank that previously banned all crypto-related transactions, has been fined £29 million ($38.5 million) by the UK’s Financial Conduct Authority (FCA) for its “shockingly lax” sanction controls. Starling banned crypto transactions in 2022, describing them as “high risk and heavily used for criminal purposes.” However, the FCA found today that Starling left the financial system “wide open to criminals and those subject to sanctions.” In 2021, the watchdog raised “serious concerns” with Starling’s anti-money laundering and sanctions framework and the bank agreed not to open accounts for high-risk customers until it addressed these issues. We have fined Starling Bank £29m for failings in their financial crime systems and controls. #FinancialServices #FinancialRegulation https://t.co/9rnn1ukEyw — Financial Conduct Authority (@TheFCA) October 2, 2024 But despite this, the FCA found “Starling failed to comply and opened over 54,000 accounts for 49,000 high-ri...