US President Donald Trump is preparing to sign an executive order to roll back Biden's anti-crypto banking regulations, which have posed challenges for crypto businesses accessing traditional banking.
The Biden Administration’s Stance on Crypto
Under Biden, the crypto industry faced significant regulatory hurdles. Despite crypto's rising popularity, many traditional financial institutions remain wary of working with crypto firms. 'Operation Chokepoint 2.0', as critics call it, became a focal point, complicating crypto businesses' access to banking infrastructure.
The Executive Order: What to Expect
Trump's order aims to return easier access to traditional banking services and federal banking privileges, particularly 'master accounts' at the Federal Reserve, to crypto businesses. These accounts are vital for crypto firms to operate more effectively within the financial system.
The Challenges Crypto Businesses Face
Challenges include banking access issues, heightened compliance efforts, and the master account problem, all of which create barriers to crypto businesses offering payments and managing operations efficiently.
Trump's executive order could ease access to banking for crypto businesses, lowering operational barriers and increasing industry legitimacy. However, the Federal Reserve remains a significant hurdle, potentially limiting the order's direct impact.
