JPMorgan Halts Gemini Re-Onboarding Amid Criticism Over Data Fees

JPMorgan Chase & Co. has suspended its efforts to re-onboard Gemini, a prominent U.S. cryptocurrency exchange, following public criticism from Gemini co-founder Tyler Winklevoss over the bank’s new data access policies. The development, framed by Winklevoss as a retaliatory move, stems from tensions over JPMorgan’s decision to charge fintech firms for access to customer banking data, a policy critics argue creates barriers for smaller players in the crypto and fintech sectors [2]. This follows Gemini’s earlier offboarding during regulatory pressures in 2023, with discussions to resume banking services having been underway prior to the latest halt [1].

Winklevoss accused JPMorgan of leveraging its market power to suppress dissent, calling the data access fees “anti-competitive” and warning they could hinder innovation in financial technology. He emphasized that such charges disproportionately affect companies reliant on free data access, effectively creating monopolistic advantages for larger institutions [2]. The bank’s policy, which shifts data-sharing fees previously absorbed by intermediaries like Plaid to fintech firms, has drawn industry backlash. “They want us to stay silent while they quietly try to take away your financial freedom,” Winklevoss stated in a July 25 social media post, framing the dispute as a broader struggle over consumer control of financial data [3]. JPMorgan has not publicly commented on the allegations but has previously defended its policy as a necessary step to monetize its data infrastructure [4].

The pause in re-onboarding highlights the fragile relationship between traditional banks and crypto platforms, particularly as institutions like JPMorgan seek to assert control over data flows. Industry observers note that the move aligns with JPMorgan’s broader strategy to monetize its financial infrastructure, a trend critics argue threatens open financial systems. Lily Liu of the Solana Foundation, however, remains optimistic about the long-term resilience of decentralized platforms, stating that user-driven innovation will outpace centralized control [4]. Meanwhile, Gemini’s recent filing for an initial public offering with the Securities and Exchange Commission has drawn renewed scrutiny to its banking partnerships, amplifying the stakes in the public debate over the bank’s actions [5].

The conflict resurfaces past tensions between the two entities. In 2023, JPMorgan reportedly pressured Gemini to seek alternative banking partners due to profitability concerns, though Gemini denied severing ties at the time [6]. The current standoff reflects a strategic shift by JPMorgan to consolidate control over data access, a move analysts describe as a calculated attempt to shape the competitive landscape. Critics argue that the policy could stifle innovation by limiting access to critical financial infrastructure, a claim Winklevoss described as a moral imperative to challenge “rent-seeking behavior” that prioritizes profits over user empowerment [7].

While no immediate market liquidity disruptions have been observed, the dispute underscores the regulatory and operational challenges crypto exchanges face in maintaining banking relationships. Financial analysts emphasize that the outcome of Gemini’s re-onboarding efforts—and JPMorgan’s broader data strategy—could signal a pivotal moment in the evolution of financial technology. For now, the standoff illustrates the delicate balance between regulatory compliance, market competition, and the future of open financial systems.

Source: [1] Yahoo Finance [https://finance.yahoo.com/news/jpmorgan-allegedly-pauses-gemini-onboarding-093035902.html] [2] Mitrade [https://www.mitrade.com/insights/news/live-news/article-3-989777-20250727] [3] Cointelegraph [https://cointelegraph.com/news/tyler-winklevoss-says-jpmorgan-blocked-gemini-after-criticism] [4] Coinpaper [https://coinpaper.com/10208/jp-morgan-pauses-gemini-partnership-amid-fintech-data-fee-dispute] [5] XT.com [https://www.xt.com/en/blog/post/jpmorgan-halts-gemini-re-onboarding-after-tyler-winklevoss-criticism] [6] Bloomberg [https://www.bloomberg.com/news/articles/2025-07-25/tyler-winklevoss-says-jpmorgan-s-dimon-paused-onboarding-gemini-over-criticism] [7] CoinLaw [https://coinlaw.io/gemini-jpmorgan-banking-retaliation/].