Brazilian cryptocurrency exchange Bitcoin Max has been granted the right to keep its Banco Santander account. The court ruled that the bank had not fulfilled its obligation to notify crypto companies of the closing in advance.
Closed Accounts Deemed Illegal
Judge Geilza F. Cavalcanti Diniz of the 3rd Civil Court of Brasilia made the ruling. Portal do Bitcoin reported that the judge Ana Catarino, 8th Federal District Court, had granted an injunction to the digital asset trading platform. Bitcoin Max sued Santander after its account had been closed without notice.
Court Rules Brazil’s Bitcoin Max Exchange Can Be Keep Bank Account
Judge Cavalcanti Diniz said in a prior ruling that the account closing is within the power of the financial institution, as per Resolution 2,025/93 of Central Bank of Brazil. Because there was no evidence that Bitcoin Max, the plaintiff, was notified of the closing of its account, she declared unlawful the rescission. Bacen’s same resolution states that banks can only terminate accounts after giving notice in writing to the account holder.
The cryptocurrency exchange lost Block activist group claim for moral damages compensation. The judge stated that closing the account of the cryptocurrency exchange is not an act violating personal rights. She noted that the case shouldn’t be treated as a consumer matter, since the bank account was used in order to facilitate business activities.
Santander is accused of abusing rights
Leonardo Ranna, Bitcoin Max’s lawyer explained that …