US Banks Continue "Debanking" Crypto Firms Amidst Persistent "Chokepoint" Policies
Despite a shifting political landscape that includes a more favorable stance towards cryptocurrencies from some high-profile figures, U.S. financial institutions are reportedly still engaging in "debanking" practices against crypto-related businesses. According to the CEO of Unicoin, American banks continue to close accounts for digital asset firms, seemingly adhering to the principles of "Operation Chokepoint" policies. This ongoing trend poses significant challenges for companies operating within the digital economy, hindering their access to essential banking services.
Continued Financial Exclusion for Crypto Businesses
The assertion from Unicoin's CEO highlights a persistent issue for the nascent cryptocurrency industry in the United States. "Operation Chokepoint" was an initiative by the U.S. Department of Justice (DOJ) that, although officially concluded, saw banks pressured to sever ties with businesses deemed "high-risk," including certain categories of financial technology and, by extension, early crypto ventures. While the official program is no longer active, the lingering effects and cautious approach by banks appear to continue influencing their decisions regarding crypto firms.
This reluctance by traditional banks to provide services—such as opening and maintaining accounts, processing transactions, or offering credit—forces crypto companies to operate on the fringes of the established financial system. Such financial exclusion complicates routine operations, stifles growth, and potentially pushes legitimate businesses into less regulated environments. The Unicoin CEO's remarks underscore that even with growing mainstream acceptance and political figures like Donald Trump voicing pro-crypto sentiments, the practical reality for many digital asset businesses remains one of limited banking access. This disconnect between political rhetoric and banking action underscores the deep-seated caution within the traditional financial sector towards the volatile and often ambiguously regulated cryptocurrency space.