NBU Accuses BitCapital of Illegal Lending Activity
Date: 2025-02-05 Author: Oliver Abernathy Categories: BUSINESS
The regulator noted that the NBU received more than 700 complaints from citizens dissatisfied with high interest rates, illegal charges, aggressive debt collection practices, and opaque terms of loans.
The audit showed that although BitCapital officially offered loans in cryptocurrency, in fact, the loans were provided in hryvnia, which is a violation of Ukrainian law. The NBU identified a number of violations, including exceeding the maximum permissible interest rates, manipulating the disclosure of the real cost of the loan, and misleading customers about the terms of the agreements.
The National Bank of Ukraine emphasized that until the company complies with all legal requirements, it is prohibited from operating in Ukraine. The regulator's representatives noted that the virtual asset market is in its infancy, which opens up opportunities for manipulation by dishonest players. The lack of clear legal norms contributes to the emergence of such threats.
The NBU also transferred the inspection materials to the National Police and the Bureau of Economic Security (BES), with a request to take measures to stop the illegal activities of BitCapital. The regulator identified several financial institutions that cooperated with this service, and expressed its intention to develop protective mechanisms for legal participants in the financial market from such partnerships.
This is not the first time that the BES has turned to justice on issues of illegal cryptocurrency activity. Earlier, the BES filed a lawsuit to block the Kuna cryptocurrency exchange for non-payment of taxes, which led to the decision of its founder Mikhail Chobanyan to close the platform and cease all commercial operations in Ukraine.
In addition, in September 2024, the NBU called on commercial banks to strengthen monitoring of P2P transfers to prevent financial fraud related to transfer limits set at UAH 150,000 from October 1.
