Operation Chokepoint 2.0 confirmed through Congressional hearings and public scrutiny, resulting in corrective action.

Operation Chokepoint 2.0 confirmed through Congressional hearings and public scrutiny, resulting in corrective action.

U.S. President Donald Trump has signed an executive order that aims to prevent "politicized or unlawful debanking" of crypto-related initiatives. This move is part of his administration's ongoing efforts to reverse the Biden era's more restrictive policies towards the crypto industry. The order, dubbed "Fair Banking for All Americans," directs federal banking regulators and agencies to adopt policies that prevent unfair debanking practices [1].

The executive order also permits crypto investments in 401K retirement plans and nominates Stephen Miran, a pro-crypto economist, for a board vacancy on the U.S. central bank. This nomination signals the administration's intent to favor digital asset-favoring interest rate cuts. The order seeks to abolish the rules and regulatory initiatives associated with "Operation Chokepoint 2.0," an alleged Biden administration plot to deny banking services to crypto companies and executives [1].

"Operation Chokepoint 2.0" was a controversial initiative that allegedly targeted crypto companies by denying them banking services. The Trump administration has previously ended similar regulatory efforts. The U.S. Securities and Exchange Commission has also backed off several Biden-era lawsuits against crypto companies [1].

The prices of major digital coins and tokens rose on the news, with Bitcoin and Ethereum trading 2% and nearly 6% higher, respectively. Crypto industry leaders have long complained about banks unfairly targeting companies in the digital assets space. The original Operation Chokepoint was a controversial Obama-era initiative, but the Trump administration has taken a more favorable stance towards the industry [1].

References:
[1] https://finance.yahoo.com/news/trump-signs-executive-order-prohibiting-232736523.html