JPMorgan Halts Gemini Banking Over Tyler Winklevoss Criticism

JPMorgan Chase & Co. has paused its efforts to re-onboard Gemini Trust Co. as a client following public criticism from the crypto exchange’s co-founder Tyler Winklevoss, according to a report dated July 25, 2025 [1]. The move underscores growing tensions between traditional financial institutions and crypto firms over data access reforms and raises concerns about the stability of fiat-crypto gateways. Winklevoss directly addressed JPMorgan CEO Jamie Dimon in a public statement, accusing the bank of retaliating against his advocacy for open banking policies. The development has reignited debates about the influence of major banks on cryptocurrency infrastructure and liquidity.

The halt in re-onboarding follows a contentious history between Gemini and JPMorgan. The bank had previously terminated its relationship with Gemini during the 2018 "Operation ChokePoint 2.0" initiative, which targeted crypto firms through regulatory pressure. Winklevoss criticized the current pause as an attempt to suppress transparency in financial data access, framing it as part of a broader strategy to limit public control over banking information. “They want us to stay silent while they quietly try to take away your right to access your banking data for free. Sorry, Jamie Dimon, we’re not going to stay silent,” Winklevoss stated [1].

The disruption has sparked concerns within the crypto community, particularly regarding liquidity for major assets like Bitcoin (BTC) and Ethereum (ETH). Exchanges rely on traditional banking partnerships to facilitate fiat transactions, and the loss of such access could hinder operational efficiency. Analysts note that similar historical disruptions have historically driven increased demand for stablecoins as alternatives to traditional banking systems. The situation also highlights the precarious nature of fiat-gateway relationships, with critics arguing that large banks hold disproportionate power to destabilize crypto markets through access controls.

The incident reflects deeper ideological clashes between open banking advocates and institutional gatekeepers. JPMorgan’s decision aligns with broader industry trends where banks weigh regulatory risks against engagement with crypto firms. While the bank has not publicly commented on the specifics of its decision, the timing suggests a strategic response to Winklevoss’s criticisms. The outcome could influence future regulatory frameworks, particularly as policymakers seek to balance financial stability with innovation in the crypto space.

Sources indicate that Gemini’s status with major banks directly impacts its ability to compete in the evolving digital asset landscape. The exchange’s reliance on fiat integration for trading and custody services makes its banking relationships critical. The current impasse with JPMorgan adds uncertainty to its operations, though Gemini has not yet disclosed alternative plans for fiat connectivity.

The event has amplified scrutiny of open banking policies in the U.S., which critics argue favor centralized control over financial data. Winklevoss’s public campaign, including calls for free data access and interoperability, positions him as a key figure in the ongoing debate. JPMorgan’s response—suspending re-onboarding efforts—signals that financial institutions may increasingly leverage their market power to shape the regulatory environment.

As the situation develops, stakeholders are closely monitoring how it affects broader market dynamics. The potential for reduced liquidity and increased reliance on decentralized solutions could redefine the role of traditional banks in crypto ecosystems. For now, the standoff between JPMorgan and Gemini serves as a case study in the volatile intersection of legacy finance and digital innovation.

Source: [1] [JPMorgan Halts Gemini Banking Over Tyler Winklevoss Criticism] [https://coinmarketcap.com/community/articles/68851b205f41311c4c04fe51/]