Bitcoin’s price is currently at $0.00 holding strong at $115,000 as the White House is preparing to crack down on banks accused of debanking Bitcoin & cryptocurrency companies and politically conservative organizations.
A new Wall Street Journal article says: report, the Trump administration is finalizing an executive order that would penalize banks that deny services to customers based on political beliefs or Bitcoin and crypto affiliations — a move that would be a major policy shift in favor of the digital asset industry.
“The White House is preparing to step up pressure against big banks over perceived discrimination against conservatives and crypto companies with an executive order that threatens to fine lenders that drop customers for political reasons,” The WSJ has reported.
Journal has seen a draft of an executive order that directs federal regulators, in response to a request from the Journal, to determine whether or not any financial institution violated antitrust laws, consumer protection laws, the Equal Credit Opportunity Act and other similar statutes. According to the draft, if this is true, financial penalties, consent orders, or other measures could be taken against violators.
This executive order is the result of years of complaints by Bitcoin and cryptocurrency companies that they have been systematically excluded from traditional banking services during Biden’s administration. Many firms struggled to maintain checking accounts, access payment processors, or receive basic credit services — a trend known as “crypto debanking.”
Banks have defended their decisions by citing legal, regulatory, or financial risks — particularly concerns about compliance with anti-money-laundering laws. Under the draft order however, banks would have to remove internal policies which may have led to debanking and review their participation in federal loan programs.
The draft doesn’t name specific banks but it does mention a recent controversy that involved Bank of America. It was accused of shutting down accounts for a Christian non-profit operating in Uganda. It responded by saying it does not serve small business outside of the U.S.
This draft document also critiques the involvement of banks in the federal investigations into the Capitol Riots on January 6, indicating the Administration’s intention to combat what they see as ideological targeting within the financial sector.
“Banks have been on edge about potential action by the Trump administration,” The Journal referred to its June earlier report about similar discussions on executive orders.
Bank of America spokesperson commented on the matter: “We’ve provided detailed proposals and will continue to work with the administration and Congress to improve the regulatory framework.”
The order, which could be issued as early as this week and regulators told to report any potential violations to Attorney General could represent a major turning point in the history of crypto companies that had operated outside the U.S. Banking System for years.
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Source: bitcoinmagazine.com
