Operation Choke Point 2.0 in Crosshairs as Trump Backs Crypto | Airdrop Alert Pro

Donald Trump has promised to end so-called “Operation Choke Point 2.0” if re-elected. At the center of this effort is David Sacks, one of Trump’s key appointees to serve as “crypto czar” in his pro-crypto push.

In a recent post on X (Twitter), Sacks vowed to investigate and reverse policies seen as damaging to the cryptocurrency industry. The move is in line with Trump’s pledge to ensure fair banking practices for digital asset companies.

David Sacks to tackle targeted crackdown on banks

Operation Choking Point 2.0 refers to a strategy by the U.S. government to limit cryptocurrency activity by using banking regulations. The initiative reportedly came into focus in 2022 when the FDIC Financial institutions are under pressure Restrictions on providing services to cryptocurrency companies. Sacks said the problem needs to be addressed.

“There are so many stories of people being injured as a result of Operation Choking Point 2.0. It needs to be considered,” he explain.

CoinbaseRecent confirmed these claims The FDIC is directing banks to suspend or cease cryptocurrency-related banking activities by publishing a letter. Coinbase Chief Legal Officer Paul Grewal described the findings as evidence that this is more than just a conspiracy theory. He promised that Coinbase would continue to pursue transparency through legal means.

“Law-abiding American businesses should be able to access banking services without government interference,” Grewal emphasize.

At the same time, one of the most high-profile victims of these policies is silver gate bankonce the cornerstone of crypto banking. Former Silvergate executive Chris Lane describes how The bank faces regulatory scrutiny Despite its solvency. Lane blamed regulators for suddenly withdrawing support, effectively destroying the business his team had built over 13 years.

“Silvergate survived a 70% run on deposits when FTX went down. The typical bank couldn’t survive 20%. FTX didn’t kill us, it did our regulators… Regulators stepping in sometime in spring 2023 , severely limited the amount of U.S. dollar deposits we could hold for digital asset clients, and our entire business model disappeared,” Lane point out.

He claimed that the bank’s collapse was a direct result of targeted restrictions on its ability to serve cryptocurrency customers. In this context, David Sacks Trump’s Cryptocurrency Czarcalling for a thorough investigation into “Operation Choke Point 2.0”.

Experts Join Trump on Crypto-Friendly Vision

With this commitment, Sachs joins others such as charles hoskinsonCardano founder, who urges the crypto industry to unite against regulatory excess. Hoskinson announced plans to work with the incoming Trump administration to develop bipartisan policies that balance innovation and accountability.

Bitcoin investor Wayne Vaughn echoed Hoskinson’s sentiments, criticizing the weaponization of the banking system.

“The U.S. government should not weaponize the banking system against its political opponents and those deemed unpopular,” Vaughan assertive.

Trump’s approach Appoint individuals who support cryptocurrencies Because his current administration aims to deconstruct the institutions of the current administration, which includes figures such as Brian Deese, the architect of the so-called “Operation Chokepoint 2.0.”

By appointing pro-cryptocurrency advocates to his transition team, the president-elect aims to Create a regulatory environment conducive to digital innovation.

cryptocurrency analyst and other key players see the 2024 election as a pivotal moment for the industry. As the cryptocurrency market awaits clarity, Trump’s pledge and Sachs’ leadership could reshape the regulatory market for digital assets in the United States.

“The incoming administration has an opportunity to reverse many poor cryptocurrency policy decisions. Chief among them were politically motivated regulatory decisions such as Operation Choking Point 2.0,” Grewal said.