The House Committee on Oversight and Government Reform issued a formal email to several crypto firms and organisations, asking for evidence and account of incidents where crypto firms and individual have been denied access banking services.
This letter addressed several parties, including the Blockchain Association and Uniswap Labs. It also included Coinbase, Payward AH Capital, Lightspark, Payward.
Blockchain Association represents some of the biggest crypto companies and investors. Confirmed The letter was received on 24 January. The organization praised Representative James Comer’s leadership and stressed the urgency of addressing this issue.
The investigation is part of the Oversight Committee’s broader inquiry into whether political motivations or regulatory overreach have systematically excluded crypto businesses from essential banking services.
The committee’s letter cites several high-profile examples of debanking, including statements from Coinbase CEO Brian Armstrong and Uniswap Labs CEO Hayden Adams, who claimed their companies were abruptly denied banking services without explanation.
Emerging Pattern
Blockchain Association: During the Biden Administration, it became clear that legal crypto companies were being denied bank access due to vague or unreported reasons. The argument was that this stifled the innovation of many businesses and caused them to move or work in uncertain conditions.
The association responded by launching an anonymous tip line for those affected by the debanking process and filing multiple Freedom of Information Act requests (FOIA), to investigate any possible regulatory interference.
The committee’s letter references former President Barack Obama’s administration and its alleged Operation Chokepoint, which targeted high-risk industries by restricting their access to financial services.
On Jan. 10, Federal Deposit Insurance Corporation (FDIC) interim Chair Travis Hill acknowledged the agency’s role in debanking crypto firms. But he didn’t confirm Operation Chokepoint.
Quick action
Blockchain Association, along with its partners have called for immediate action and placed the debanking issue at the forefront of their agenda.
Following November’s election, the association sent a letter to President Trump and the new Congress, urging them to prioritize the protection of lawful crypto companies.
Following her testimony, Senator Cynthia Lummis (a staunch advocate of crypto) issued a public statement in which she vowed not to allow initiatives such as Operation Chokepoint 2.0. The following are some of the reasons why you should consider a nomination To lead the Senate Banking Subcommittee on Digital Assets.
The Oversight Committee’s investigation aims to determine whether financial institutions are acting independently or under direction from regulators to limit access to banking for crypto companies.
The study also aims to discover the wider implications of US innovation, entrepreneurialism, and financial inclusion.
Moment of innovation
The committee’s findings could have significant implications for the future of crypto in the US, determining whether the industry can thrive under fair regulatory practices or continue to face barriers that stifle growth and drive innovation overseas.
Blockchain Association:
“This saga shows why many are drawn to crypto in the first place. We want to live in a world where everyone controls their own financial destiny, free from undue political interference.”
The President Donald Trump recently signed an Executive order The role of a crypto-focused working group “crypto czar,”Who will be in charge of fostering an industry-wide regulatory framework?
On his second day as president, Trump Nominated Mark Uyeda, as Acting Chair of the US Securities and Exchange Commission. Uyeda took over as Acting Chair of the Securities and Exchanges Commission on September 29. Created a Task Force To improve legal clarity in US for Crypto, the US regulator should be able to do this.
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