Politics

Crypto debanking is not over until Jan 2026: Caitlin Long

Published

4 months ago

March 22, 2025

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Crypto debanking is not over until Jan 2026: Caitlin Long

Update March 22, 2025, 10:08 a.m. UTC: This article has been updated to include an embed of the Chainreaction episode.

The cryptocurrency industry may still be facing debanking-related issues in the United States, despite the recent wave of positive legislation, according to crypto regulatory experts and industry leaders.

The collapse of crypto-friendly banks in early 2023 sparked the first allegations of Operation Chokepoint 2.0. Critics, including venture capitalist Nic Carter, described it as a government effort to pressure banks into cutting ties with cryptocurrency firms.

Despite numerous crypto-positive decisions from US President Donald Trump, including the March 7 order to use Bitcoin (BTC) seized in government criminal cases to establish a national reserve, the industry may still be facing banking issues.

“It’s premature to say that debanking is over,” according to Caitlin Long, founder and CEO of Custodia Bank. Long said during Cointelegraph’s Chainreaction daily X show on March 21:

“There are two crypto-friendly banks under examination by the Fed right now and an army of examiners was sent into these banks, including the examiners from Washington, a literal army just smothering the banks.”

The Crypto Debanking Crisis: #CHAINREACTION https://t.co/nD4qkkzKnB

— Cointelegraph (@Cointelegraph) March 21, 2025

“The Fed is the outlier and the Fed is still controlled by democrats,” explained Long, adding:

“Trump won’t have the ability to appoint a new Fed governor until January. So therefore you can see the breadcrumbs leading up to a potentially big fight. Because if the OCC and FDIC overturn their anti-crypto guidance but the Fed does not, where does that leave us?”

Long’s Custodia Bank was repeatedly targeted by the US debanking efforts, which cost the firm months of work and “a couple of million dollars,” she explained.

Industry outrage over alleged debanking reached a crescendo when a June 2024 lawsuit spearheaded by Coinbase resulted in the release of letters showing US banking regulators asked certain financial institutions to “pause” crypto banking activities.

Crypto debanking is the biggest operational problem in EU: blockchain regulations adviser

Cryptocurrency debanking is also among the biggest challenges for European cryptocurrency firms, according to Anastasija Plotnikova, co-founder and CEO of blockchain regulatory firm Fideum.

“We’re living in 2025 and debanking is still one of the main operational issues for both small and large crypto firms,” said Plotnikova, adding:

“Crypto debanking is also a problem here in the EU. I had my accounts closed in 2017, 2018, 2019, 2021, and 2022, but 2024 was a good year. Operationally these problems exist for both users and crypto firms operating.”

The comments come two weeks after the US Office of the Comptroller of the Currency (OCC) eased its stance on how banks can engage with crypto just hours after US President Donald Trump vowed to end the prolonged crackdown restricting crypto firms’ access to banking services.

Trump’s remarks were made during the White House Crypto Summit, where he told industry leaders he was “ending Operation Chokepoint 2.0.”

At least 30 tech and crypto founders were “secretly debanked” in the US during Operation Chokepoint 2.0, Cointelegraph reported in November 2024.

Magazine: SEC’s U-turn on crypto leaves key questions unanswered

Politics

UK restores diplomatic ties with Syria

Published

6 hours ago

July 6, 2025

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The UK has re-established diplomatic ties with Syria, David Lammy has said, as he made the first visit to the country by a British minister for 14 years.

The foreign secretary visited Damascus and met with interim president Ahmed al Sharaa, also the leader of the rebel group Hayat Tahrir al-Sham (HTS), and foreign minister Asaad al Shaibani.

It marks the latest diplomatic move since Bashar al Assad’s regime was toppled by rebel groups led by HTS in December.

In a statement, Mr Lammy said a “stable Syria is in the UK’s interests” and added: “I’ve seen first-hand the remarkable progress Syrians have made in rebuilding their lives and their country.

“After over a decade of conflict, there is renewed hope for the Syrian people.

“The UK is re-establishing diplomatic relations because it is in our interests to support the new government to deliver their commitment to build a stable, more secure and prosperous future for all Syrians.”

The Foreign, Commonwealth and Development Office has also announced a £94.5m support package for urgent humanitarian aid and to support the country’s long-term recovery, after a number of British sanctions against the country were lifted in April.

While HTS is still classified as a proscribed terror group, Sir Keir Starmer said last year that it could be removed from the list.

The Syrian president’s office also said on Saturday that the president and Mr Lammy discussed co-operation, as well as the latest developments in the Middle East.

Since Assad fled Syria in December, a transitional government headed by Mr al Sharaa was announced in March and a number of western countries have restored ties.

In May, US President Donald Trump said the United States would lift long-standing sanctions on Syria and normalise relations during a speech at the US-Saudi investment conference.

He said he wanted to give the country “a chance at peace” and added: “There is a new government that will hopefully succeed.

“I say good luck, Syria. Show us something special.”

Politics

Secret Service seizes $400M in crypto, cold wallet among world’s largest

Published

8 hours ago

July 6, 2025

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Secret Service seizes 0M in crypto, cold wallet among world’s largest

Secret Service quietly amasses one of the world’s largest crypto cold wallets with $400 million seized, exposing scams through blockchain sleuthing and VPN missteps.