Trump’s executive order – Will it end crypto firms’ banking struggles?

• Trump is planning a executive order to prevent banks from refusing to crypto companies.
• Movement could increase crypt stability and attract institutional acceptance in the US

US President Donald Trump is reportedly preparing to sign the main executive order to protect companies from discriminating banking.

This means clear consequences of his pro-krypto campaign promises.

Trump to sign a executive order against banks

According to The Wall Street JournalThe upcoming executive order would only prevent banks from the rejection of digital assets services only on the basis of their sectors or perceived political tendencies.

Trump’s domestic policy led by Vince Haley is expected to lead the design process. The order could have far -reaching consequences for the company crypto.

This step results from the growing pressure of conservative states that claim that the main US banks have discriminated against an industry such as cryptocurrency, firearms and energy, not for financial reasons, but because of ideological bias.

Democratic senator Elizabeth Warren also in February also called Administration of Donald Trump to investigate banks accused of rejecting services on the basis of political affiliation or type of industry.

She said

“It is simple to me: it does not matter who you voted for, what you believe in, or the origin of your surname, people should not be freely denied access to their banks, locked up from your accounts or deprive their banking privileges.”

In response to the accusation, however, managers from JPMorgan Chase, Wells Fargo and Citibank have already dealt with discussions with officials from Texas and Oklahoma to deal with the fears.

Is it good news for the crypto industry?

This step is considered to be a direct response to what many in the crypto industry call the “Chokepoint 2.0” operation, which is an alleged coordinated effort of Joe Biden to interrupt crypto companies from banking services.

During this time, at least 30 technical and cryptomats were reported to entrepreneurs.

The sudden collapse of the three crypto-friendly institutions-Silicon Valley Bank, Silvergate Bank and Signature Bank-in March 2023 further stimulated concerns about systemic intervention.

Now, with Trump back in the office, federal officials seem to be ready to turn the course by introducing protection for digital assets.

If the Directive was adopted, it could restore the approach of the company’s company to the basic banking infrastructure and to support a more supportive environment.

It can also attract institutional investors by signaling a more friendly control approach.

However, it is expected that the proposal will provoke legal and political debates on to what extent the federal government can manage private banking practices.

What lies before us?

Despite the pro-crito attitudes and regulatory refunds of Trump’s administration, concerns about the crypto debal are far from resolved.

Trump committed to ending the Chokepoint 2.0 operation and alleviating the SEC rules such as SAB 121. Crypto companies still remain unpleasant because the calls in access to banking still persist.

Interestingly, the chairman of the Jerome Powell Federal Reserve has recently confirmed that banks can serve crypto companies if they follow regulatory instructions.

Powell said,

“Banks can decide who their customers are and this is not our decision. Banks can provide banking services of crypto industry and crypto companies.”

Although it offers cautious optimism, it is not yet a complete solution.

Yet the alignment between Trump’s administration and the Fed signals a rare moment of shared direction on the crypto policy.