Several large banks in Portugal have reportedly begun closing the accounts of cryptocurrency exchanges due to "risk management" concerns, suggesting a shift in Portugal's pro-crypto position. The country's central bank appears to have given the financial institutions the green light to take action.

Several of Portugal's top banks recently closed the accounts of CriptoLoja, the country's first cryptocurrency exchange to obtain a license to operate. According to a Bloomberg report, at least four domestic cryptocurrency exchanges have seen their accounts shut by BCP (Banco Comercial Portugues), Santander Bank, Caixa Geral de Depósitos, BiG, and Abanca.

All the exchanges are licensed by the Bank of Portugal, which regulates domestic cryptocurrency trading platforms. Three of the exchanges were identified as Criptoloja, Mind The Coin and Luso Digital Assets, with a third requesting that their name not be published by media platforms. The head of the Bank of Portugal, Mário Centeno, was quoted as saying that banks had complete freedom to do anything they wanted, but he promised to keep a close eye on the situation.

The Bank of Portugal's oversight of exchanges includes ensuring that platforms combat money laundering and terror financing and work to prevent fraud. BCP told Bloomberg that its primary duty was to inform competent authorities if it detects "suspicious transactions," which may lead to the termination of banking relationships with certain companies.

Cointelegraph reached out to CryptoLoja, one of the affected crypto exchanges, for comment but did not receive a response as of press time. This article will be updated when a response is received.

Related: Senator Warren proposes reducing Wall Street’s involvement in crypto