The post Coinbase’s Paul Grewal reveals letters US regulator sent to coerce banks from serving crypto businesses appeared on BitcoinEthereumNews.com.

Documents obtained by Coinbase through the Freedom of Information Act (FOIA) revealed that the Federal Deposit Insurance Corporation (FDIC) and other federal agencies actively discouraged banks from transacting with crypto businesses in what is popularly called “Operation Chokepoint 2.0” within the crypto industry. Following the release of documents obtained by Coinbase through the FOIA, Coinase’s Chief Legal Officer, Paul Grewal, took to X (formerly Twitter) to talk about the challenges the crypto industry faced at the hands of the FDIC and the banks that acted to curb crypto-related activities under the regulator’s advisory.  Paul also highlighted the extent to which regulatory bodies, especially the FDIC have gone to restrict crypto businesses from accessing essential banking services. Law abiding American businesses should be able to access banking services without government interference. The incoming administration has the opportunity to reverse so many poor crypto policy decisions, chief among them politically motivated regulatory decisions like Operation… — paulgrewal.eth (@iampaulgrewal) December 6, 2024 Operation Chokepoint 2.0 cut off crypto businesses from banking services For a while, it felt like the crypto industry was under siege as it faced a constant barrage of enforcement action from US regulators. Recently discovered documents have confirmed that US regulators might have indeed taken active steps to stall the industry.  Paul said the release of the heavily redacted documents proves that the crypto industry was targeted unfairly. He also said it provided vindication that “Operation Chokepoint 2.0” wasn’t just a myth in the crypto community and that there was actually a debanking campaign.  He expressed frustration, saying, “Law abiding American businesses should be able to access banking services without government interference.” Paul pointed out that the FDIC continues to withhold key details through redaction. However, he applauded the effort of the team pursuing the FOIA requests, emphasizing the need…

---

Filed under: News - @ December 6, 2024 9:22 pm