U.S. President Donald Trump is preparing to issue an executive order to reverse strict banking policies that have hindered the cryptocurrency industry. According to sources, this directive will replace regulations tied to Operation Chokepoint 2.0, a policy accused of limiting financial services for crypto businesses.
Reversing Anti-Crypto Banking Policies
During Biden’s presidency, crypto companies had a rough time securing basic banking services, many saw their accounts shut down or faced endless hurdles just to keep their operations running. It seems like the policy is changing- Trump is stepping in with a new executive order aimed at dismissing these roadblocks and making the financial system more welcoming to digital assets.
Bo Hines, who heads the Presidential Working Group on Digital Assets, hinted that big changes are coming. While he didn’t spill all the details, he clarified that the administration is moving fast to undo policies that many in the crypto space saw as unfair.
The crackdown on crypto banking has often been linked to Operation Chokepoint 2.0—a phrase coined by industry insiders who saw similarities to an older Obama-era policy that cut off banking access for growing crypto industries. With Trump’s new order, those restrictions are finally on their way out.
Federal Reserve Access for Crypto Banks?
One major focus of Trump’s order is the Federal Reserve’s stance on granting master accounts—a critical tool that allows banks to interact directly with the Fed’s payment system. Under Biden’s leadership, crypto-friendly banks such as Custodia were repeatedly denied access, limiting their ability to operate at scale.
Trump’s administration appears determined to change this, potentially giving crypto banks the same financial access as traditional institutions. However, since the Federal Reserve operates independently, legal challenges could arise over whether the executive branch has the authority to influence its decision-making.
Stablecoin Clarity and Strategic Crypto Reserves
Beyond banking, Trump’s executive order is expected to address the classification of stablecoins—cryptocurrencies pegged to fiat currencies like the U.S. dollar. Reports suggest that the order will assert that stablecoins should not be categorised as securities, reducing regulatory uncertainty and encouraging wider adoption.
The following steps will mark Trump’s third executive order on cryptocurrency since returning to office. His previous directives established a Presidential Working Group on Digital Assets and developed a U.S. government Bitcoin reserve, alongside a separate stockpile for other digital assets.
By tackling restrictive banking policies and providing clearer guidelines for cryptocurrencies, Trump’s latest move could significantly reshape the crypto regulatory landscape, making the U.S. a more favourable environment for digital asset innovation.
Stay informed,
Rodcas Consulting Group