Mox Bank froze customer accounts related to crypto transactions

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Customers of Mox Bank, an online-only Chinese bank, have taken to social media to air their grievances over the frozen accounts. The bank had blocked their accounts following crypto transactions.

According to reports, users of the Chinese virtual bank Mox Bank who tried their hand at crypto transactions had their accounts frozen. Users are also considering filing a complaint with the Hong Kong Monetary Authority (HKMA).

User accounts frozen due to “security considerations”

The only information offered by the bank was security considerations. Users finally saw their accounts unlocked, although it took several days. Asked by the media, Mox Bank replied:

we review individual customer accounts in accordance with the existing system as part of our customer rights safeguards. Customers will continue to be able to use the account after the review is complete. Also, this incident has nothing to do with data breaches.

Mox Bank customers started posting on social media to get the company’s attention. Many have complained of being locked up for a week with no access to their money.

Frustrated customers using social media to react. Source: Facebook/Mox Bank

As an online bank, there is no specific branch that users can go to to file a complaint. This made it difficult for them to speed up the unlock. Contacting customer service didn’t help much, according to social media posts.

This is a strange development, given that Hong Kong has opened up to the crypto market. Mainland Chinese entities are steadily offering more crypto services in the region.

Mox Bank, which was backed by Standard Chartered, is an online-only bank that has no physical branches. As a digital bank, it is popular with users for its quick and easy registration process, which only takes a few minutes. The bank is only available in Hong Kong.

The bank was launched in 2020 and has the backing of Standard Chartered, HKT, PCCW and Trip.com, all big names in Asia. Among its offerings are personal accounts, Mox card, smart savings features, Mox Credit and smart loans.

Hong Kong Monetary Authority contacts Mox Bank

The HKMA has provided some clarification on Mox Bank’s situation, with a spokesperson for the agency saying it was aware of the situation. He ordered the bank to follow up the matter and ensure that customers would have no problems.

The HKMA has been busy over the past few years, working on crypto regulation, among other things. In early 2022, it requested comments on its crypto regulatory document.

Later that year, the HKMA and the Bank of Israel began work on a Central Bank Digital Currency (CBDC) test project. He is also working with the Chinese central bank on a Digital Yuan project.

Disclaimer

In accordance with the guidelines of the Trust Project, BeInCrypto is committed to providing impartial and transparent reports. This news article aims to provide accurate and timely information. However, readers are urged to independently fact-check and seek professional advice before making any decisions based on this content.

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