The creator of a well-known cryptocurrency has expressed concerns that reversing the damage caused by Operation Chokepoint 2.0 could take years. He characterized this initiative as a global strategy aimed at constraining the cryptocurrency sector.
Charles Hoskinson, the founder of Cardano, called for collaboration among crypto leaders to promote legislation that would prevent such actions in the future.
Operation Chokepoint 2.0: A Worldwide Offensive
Hoskinson described Operation Chokepoint 2.0 as a targeted initiative that systematically attacks the cryptocurrency market.
He mentioned in a message on X that many individuals have ignored the seriousness of the situation for political reasons, falsely believing it to be a minor issue.
Hoskinson clarified that the crackdown is not limited to the United States, but has also extended globally.
He noted this crackdown is even more severe than expected, constituting a coordinated international effort against cryptocurrencies.
The global fallout from Operation Chokepoint 2.0. So many people put their head in the sand for political reasons, saying it’s not as bad as the industry was making it out to be.
It is worse and global. So many businesses were harassed, fined, audited, and de-platformed. It has…
— Charles Hoskinson (@IOHK_Charles) November 30, 2024
He warned that Operation Chokepoint 2.0 has inflicted significant harm on the economy and devastated many businesses, as numerous companies faced harassment, fines, audits, and were de-platformed. He stressed that recovering from the economic and emotional damages will take years.
Need for Protective Legislation
Hoskinson emphasized the need for cryptocurrency leaders to come together and advocate for laws to safeguard digital asset companies from future anti-crypto operations. He remarked, “We have a small window of time to get a law passed.”
He encouraged key players in the industry’s landscape to push for legislative reforms to avert similar initiatives in the future.
Collaboration among influential cryptocurrency figures could be beneficial, especially with President-elect Donald Trump’s commitment to support the industry and promote regulatory reforms for its expansion.
Crypto Executives Respond
An executive from a cryptocurrency firm confirmed attempts to stifle the industry through Operation Chokepoint, sharing his experience of being debanked by a lender outside the U.S. after a cryptocurrency deposit.
Binance executive Gabriel Abed recounted that First Citizens Caribbean Bank closed his accounts of ten years due to a Bitcoin-related deposit.
Can confirm this is true. It was one of the most unethical and un-American things that happened in the Biden administration, and my guess is we’ll find Elizabeth Warren’s fingerprints all over it (Biden himself was probably unaware).
We’re still collecting documents via FOIA…
— Brian Armstrong (@brian_armstrong) November 27, 2024
Abed noted that international banks are severing ties with crypto clients due to compliance with U.S. banking standards, reiterating that this issue is not confined to the U.S.; it has global implications.
Coinbase CEO Brian Armstrong condemned the debanking actions targeting the crypto sector as highly unethical, alleging a concerted effort led by Senator Elizabeth Warren and SEC Chairman Gary Gensler to undermine the cryptocurrency industry.
Featured image from DALL-E, chart from TradingView
