Trump saves Bitcoin from banks with new order What does it mean for the industry?

The president of the United States Donald Trump signed an executive order entitled “guaranteeing a fair bank for all Americans.” At first glance, the decree seeks to combat what the White House calls “politicized or illegal debanking”, a practice in which financial institutions deny services to individuals or companies for their political, religious beliefs or for dedicating themselves to legal commercial activities but disadvantaged by federal regulators.

However, a deeper analysis of the text, driven by industry figures such as Caitlin Long, CEO of the private bank custody bank, reveals a much more radical strategy: a power restructuring that elevates the federal small businesses (SBA) to a position of a position of a position of a position of “Super regulator” above traditional banking agenciessuch as the Federal Reserve (FED), the Federal Deposit Insurance Corporation (FDIC) and the Currency Comptroller Office (OCC).

The Executive Order directly addresses accusations that federal regulators pressed banks to discriminate to clients. Explicitly programs such as the «Operation Chokepoint«, as proof of a systemic bias.

As Cryptonoticia, the Operation Chokepoint or “strangulation point”, initiated in 2013 by the US Department of Justice, sought to combat fraud in high -risk industries such as payment day loans and arms merchants. However, the community and the cryptocurrency industry denounced a modern version, known as Chokepoint 2.0, stating that this was under -up an undercover operation that aimed to restrict the access of digital asset companies to the traditional banking system.

The “hidden jewel” of the Executive Order

In the executive order signed by Trump, Caitlin Long highlights a “hidden jewel.” She points out that it is not “what”, but “how.”

“It shows that the White House understands that it cannot trust federal bank regulators,” Long said. “He hired a supervisor to guarantee his honesty.”

That supervisor, according to the order, is the SBA. “This says a lot,” Long continued. “The president understands that the abuses of power that gave rise to Debanking (Drawing) are deeply rooted in the agencies.” Long supports its argument by pointing out the political contributions of the Fed and the FDIC staff, which are overwhelmingly inclined to the Democratic Party, where anti -bitcoin and cryptocurrency politicians abound.

The choice of the SBA, an agency that is not traditionally a first level bank regulator, is seen as a tactically creative play. That is why section 4 of Trump’s executive order says. This gives SBA the explicit authority to demand that financial institutions “identify and return” to customers who were denied services, Due to “debutking politicized” actions.

Section 4 of the executive order indicates that the SBA has the responsibility of notifying financial institutions under their jurisdiction, within 60 days so that, within 120 days, they identify and return to clients and potential clients who were victims of politicized or illegal disabilities. This includes both general financial services and payment processing services.

The Order seeks to guarantee that these institutions take corrective measures to restore access to bank services to those who were unfairly excluded for reasons not related to objective financial risks. From now on, Any bank that violates these laws could face financial sanctions or other disciplinary measures.

«The White House does not trust that the 3 Federal Banking Agencies (Fdic, Fed and Occi) clean their own houses. But the SBA has jurisdiction, so it is inserted as a super regulator above the other 3. Tactically, it is a creative movement. The president is seriously.

Caitlin Long, Bitcoiner and founder of Custody Bank.

An order protect activities with Bitcoin

The key appointment that underlines this intention is that of Kelly Loeffler, a well -known defender of Bitcoin, who will now be in charge of the SBA. “Yes, the White House has just given a bitcoiner this task,” Long exclaimed, highlighting the huge signal that this sends to industries that have felt persecuted by the traditional financial system, such as digital assets.

The Executive Order defines the “politicized or illegal debanking” in a broad way, not explicitly mentioning the Bitcoin and cryptocurrency industry. However, the key language focuses on protecting “legal commercial activities.” According to Long, “the banks that refused to serve or canceled the accounts of Bitcoin legal companies, are in the spotlight.”

However, not everyone believes in the so -called Chokepoint operation, which has not ceased to be a issue of political debate among conservatives when they criticize regulatory agencies. “They present it as a campaign of the Democrats to abuse their power by attacking conservatives,” said Dru Stevenson, a law professor at the Law Faculty of Southern Texas, who has studied the issue. “It is more a myth than a reality,” he said according to US media.

According to a cryptootic report, official documents revealed how the Operation Chokepoint, known for its antibitcoin posture, It was imposed on the banks of the United States. Caitlin Long, whose company, custody Bank, suffered the closure of accounts by five different banks despite an impeccable compliance history, trusts that Trump’s executive order demonstrates favorable results.

“A good fire test to measure the success of this executive order is whether the 5 banks that canceled Custody Bank return to us … if we return to us, then the executive order succeeded.”

Caitlin Long, Bitcoiner and founder of Custody Bank.

Long’s comment demonstrates that while Trump’s government implements this new directive, the financial industry observes carefully. The measure is a fundamental reorganization that could trigger an unprecedented power struggle between a newly empowered agency and the rooted regulatory establishment of Washington. Or definitely, it could promote a new relationship between banks and Bitcoin industry and cryptocurrencies in the United States.