President Donald Trump is set to sign an executive order aimed at reversing banking restrictions on cryptocurrency firms imposed during the Biden administration. According to sources familiar with the matter, the order will remove regulatory barriers that limited crypto companies’ access to banking services.
Trump’s Order to Dismantle “Operation Chokepoint 2.0”
The upcoming executive order is expected to roll back policies linked to “Operation Chokepoint 2.0,” a term used to describe alleged efforts that pressured banks to deny services to crypto-related businesses.
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Industry leaders have long criticized these restrictions, arguing that they created an unfair financial environment for crypto firms. Bo Hines, Executive Director of the Presidential Working Group on Digital Assets, confirmed that the administration is moving to eliminate these barriers, stating:
“I think that the industry can expect something in short order there.”
However, specific details about the executive order’s full scope remain undisclosed.
Potential Impact on Federal Reserve Policies
The executive order may also challenge Federal Reserve policies that prevented crypto-focused banks from obtaining master accounts—essential for direct transactions with the Federal Reserve. Under the Biden administration, banks like Custodia were denied master accounts, limiting their ability to provide financial services to crypto firms.
Despite growing calls for policy changes, the Federal Reserve and Federal Deposit Insurance Corporation (FDIC) have not yet rescinded any anti-crypto guidance. Last month, Federal Reserve Chairman Jerome Powell acknowledged concerns about crypto debanking, stating that he was “struck” by the number of cases and that the Fed would take a fresh look at the issue.
Custodia Bank CEO Caitlin Long has been vocal about the challenges posed by the Fed and FDIC, stating:
“They have been far more detrimental to crypto banking than the OCC [Office of the Comptroller of the Currency], which has already rescinded its restrictive crypto banking guidance.”
Elizabeth Warren Signals Support for Crypto Banking Access
Surprisingly, Senator Elizabeth Warren, known for advocating stricter crypto regulations, has expressed willingness to work with the Trump administration to address debanking issues.
During a Senate Banking Committee hearing, Warren stated:
“Debanking is a real problem. This shouldn’t be happening, and we need to fix it.”
Her recent stance marks a significant shift in her approach to crypto regulations, as she now supports ensuring banks do not unfairly deny services to crypto firms.
Trump’s Continued Crypto Policy Focus
If signed, this will be Donald Trump’s third executive order related to cryptocurrency since taking office.
- First Executive Order (January 2025): Established the Presidential Working Group on Digital Asset Markets.
- Second Executive Order (March 2025): Directed the creation of a U.S. government strategic Bitcoin reserve and a digital asset stockpile.
Reports suggest the upcoming order may also address stablecoins, potentially classifying them as non-securities—a major regulatory shift for the crypto industry.
A senior White House official confirmed that legal considerations are currently being reviewed before finalizing the executive order. While no official date has been set, sources indicate that the signing could take place within the week.
With this latest move, the Trump administration signals a strong pro-crypto stance, positioning the U.S. as a more favorable jurisdiction for digital assets.
Disclaimer: This article is for informational purposes only and does not constitute financial, legal, or investment advice. Readers should conduct their own research before making any financial decisions.
