{"id":13399,"date":"2025-06-24T17:01:11","date_gmt":"2025-06-24T15:01:11","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=13399"},"modified":"2025-06-24T17:01:11","modified_gmt":"2025-06-24T15:01:11","slug":"trump-administration-considers-executive-order-on-debanking-sources-reveal","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/06\/24\/trump-administration-considers-executive-order-on-debanking-sources-reveal\/","title":{"rendered":"Trump Administration Considers Executive Order on ‘Debanking’: Sources Reveal"},"content":{"rendered":"\n
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The administration of US President Donald Trump is allegedly contemplating an executive directive intended to stop banks from denying services to politically unapproved sectors, such as cryptocurrency firms, as reported on Tuesday by The Wall Street Journal, referencing undisclosed sources.<\/p>\n

The action<\/a> would emerge in light of accusations that certain banks have withheld services from technology and crypto entrepreneurs as a part of a coordinated campaign of debanking that critics have labeled \u201cOperation Chokepoint 2.0.\u201d<\/p>\n

At least 30 founders in technology and cryptocurrency<\/a> allegedly faced denial of banking services during the tenure of former President Joe Biden.<\/p>\n

Trump administration considers executive measure<\/h2>\n

Representatives from major US banks, including JPMorgan Chase, Citigroup, and Wells Fargo, have engaged with state officials in Texas and Oklahoma to counter claims that they refused to support the gun manufacturing and fossil-fuel extraction sectors, sources informed the WSJ.<\/p>\n

In February, Democratic Senator Elizabeth Warren urged the Trump administration to intervene against the largest banks in the nation for refusing services based on political or industrial factors.<\/p>\n

\u201cFor me, this is clear: It doesn\u2019t matter who you cast your vote for, what your beliefs are, or the origin of your surname, individuals should not be unjustly denied access to their banking institutions, barred from their accounts, or stripped of their banking rights,\u201d Warren stated<\/a> during a Senate Banking Committee session in February.<\/p>\n

Related: <\/strong><\/em>Martin Gruenberg, FDIC chair and \u2018architect of Operation Chokepoint 2.0,\u2019 to resign on Jan. 19<\/strong><\/em><\/a><\/p>\n

In March 2023, the US banking landscape experienced turmoil with the abrupt fall of Silicon Valley Bank<\/a> and the voluntary liquidation of Silvergate Bank<\/a>. Signature Bank was also compelled to cease operations by New York regulators<\/a> on March 12, just two days post the liquidation of Silvergate Bank.<\/p>\n

The sudden demise of three crypto-friendly US banks was referred to as Operation Chokepoint 2.0<\/a> by crypto venture capitalist Nic Carter, who viewed<\/a> it as a \u201ccoordinated initiative\u201d aimed at unbanking the crypto sector.<\/p>\n

Related: <\/strong><\/em>Paolo Ardoino: Rivals and politicians aim to \u2018destroy Tether\u2019<\/strong><\/em><\/a><\/p>\n

Crypto debanking may persist until 2026<\/h2>\n

Notwithstanding a more accommodating crypto regulatory environment under the Trump administration, the industry’s debanking concerns may endure until 2026<\/a>.<\/p>\n

\u201cIt\u2019s too early to declare that debanking is over,\u201d remarked Caitlin Long, founder and CEO of Custodia Bank. She stated during Cointelegraph\u2019s Chainreaction daily X <\/a>show on March 21:<\/p>\n

\u201cTrump won\u2019t be able to appoint a new Fed governor until January. Thus, you can see hints suggesting a potentially significant conflict on the horizon.\u201d<\/p><\/blockquote>\n

\u201cBecause if the OCC and FDIC rescind their anti-crypto guidance but the Fed does not, where does that place us?\u201d she added.<\/p>\n

Long\u2019s Custodia Bank<\/a> faced repeated targeting from US debanking initiatives, costing the firm months of effort and \u201cseveral million dollars,\u201d she explained.<\/p>\n

Trump previously promised that he intended to \u201cterminate Operation Chokepoint 2.0\u201d during his address at the White House Crypto Summit<\/a> on March 7. <\/p>\n