Donald Trump

Brian

Elon Musk

More than 30 technology and cryptocurrency founders in the United States have reportedly been denied access to banking services in what some insiders describe as an orchestrated effort dubbed “Operation Chokepoint 2.0.”
“Did you know that 30 tech founders were secretly debanked,” asked Tesla founder and billionaire Elon Musk in a Nov. 27 X post.
In the post, Musk shared a clip of Andreessen Horowitz co-founder Marc Andreessen discussing the issue on the Joe Rogan Experience podcast. In the clip, Andreessen claims:
<blockquote>
 “Operation Chokepoint 2.0 is primarily against their political enemies and disfavoured tech startups. In the tech world, we had over 30 tech founders debanked in the last four years. It’s been a big recurring pattern.”
</blockquote>
<figure><img alt="Crypto founders share debanking stories during ‘Operation Chokepoint 2.0’" src="https://s3.cointelegraph.com/uploads/2024-11/019372eb-dba4-75b0-9e6a-64e3e4f1ede6" title="">
 <figcaption style="text-align: center;">
 Source: <a data-ct-non-breakable="null" href="https://x.com/elonmusk/status/1861667220876824869" rel="noopener noreferrer nofollow" target="_blank" text="null" title="https://x.com/elonmusk/status/1861667220876824869">Elon Musk</a>
 </figcaption>
</figure>
Coinbase co-founder and CEO Brian Armstrong added his voice to the allegations, calling out “the unethical and un-American things that happened in the Biden administration,” in a Nov. 27 X <a data-ct-non-breakable="null" href="https://x.com/brian_armstrong/status/1861890800268775923" rel="noopener noreferrer nofollow" target="null" text="null" title="null">post</a>.
<figure><img alt="Crypto founders share debanking stories during ‘Operation Chokepoint 2.0’" src="https://s3.cointelegraph.com/uploads/2024-11/019372eb-87fe-70b3-9e36-438c93888536" title="">
 <figcaption style="text-align: center;">
 Source: <a data-ct-non-breakable="null" href="https://x.com/brian_armstrong/status/1861890800268775923" rel="noopener noreferrer nofollow" target="_blank" text="null" title="https://x.com/brian_armstrong/status/1861890800268775923">Brian Armstrong</a>
 </figcaption>
</figure>
Armstrong claimed Coinbase is collecting Freedom of Information Act requests to identify those involved in the debanking effort.
The collapse of crypto-friendly banks earlier in 2023 sparked the first allegations of <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/choke-point-continues-to-hurt-kamala-harris-crypto-reset" rel="noopener noreferrer nofollow" target="_self" text="null" title="https://cointelegraph.com/news/choke-point-continues-to-hurt-kamala-harris-crypto-reset">Operation Chokepoint 2.0</a>. Critics, including venture capitalist Nic Carter, described it as a government effort to <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/us-gov-killed-silvergate-to-cut-off-crypto-industry-nic-carter" rel="noopener noreferrer nofollow" target="_self" text="null" title="https://cointelegraph.com/news/us-gov-killed-silvergate-to-cut-off-crypto-industry-nic-carter">pressure banks into cutting ties</a> with cryptocurrency firms.
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/fdic-chair-operation-chokepoint-2-architect-resign-jan-19" rel="noopener noreferrer nofollow" target="null" text="null" title="null">FDIC chair, ‘architect of Operation Chokepoint 2.0’ Martin Gruenberg to resign Jan. 19</a>
<h2 id="frax-finance-founder-recalls-jpmorgan-account-closure">Frax Finance founder recalls JPMorgan account closure</h2>
While the alleged operation has not been confirmed, crypto industry players have detailed challenges in securing banking services.
Sam Kazemian, founder of Frax Finance, recounted a conversation with JPMorgan Chase in December 2022. “They said, ‘We have to close anyone’s account that we know their primary source of income/wealth is crypto,’” Kazemian wrote in a Nov. 28 post on X, attributing the directive to JPMorgan CEO Jamie Dimon.
<figure><img alt="Crypto founders share debanking stories during ‘Operation Chokepoint 2.0’" src="https://s3.cointelegraph.com/uploads/2024-11/019372e9-5b76-7036-8952-3f4afcedb60a" title="">
 <figcaption style="text-align: center;">
 Source: <a data-ct-non-breakable="null" href="https://x.com/samkazemian/status/1861956394079101391" rel="noopener noreferrer nofollow" target="_blank" text="null" title="https://x.com/samkazemian/status/1861956394079101391">Sam Kazemian</a>
 </figcaption>
</figure>
In March 2023, the US banking system took a hit following the sudden <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/silicon-valley-bank-collapse-everything-that-s-happened-until-now" rel="noopener noreferrer nofollow" target="null" text="null" title="null">collapse of Silicon Valley Bank</a> and the voluntary <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/silvergate-downfall-sparks-debate-over-whose-fault-it-actually-was" rel="noopener noreferrer nofollow" target="null" text="null" title="null">liquidation of Silvergate Bank</a>. Signature Bank was also forced to <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/signature-bank-closed-by-new-york-banking-authorities" rel="noopener noreferrer nofollow" target="null" text="null" title="null">close operations by New York regulators</a> on March 12, two days after Silvergate Bank’s liquidation.
The sudden collapse of three crypto-friendly US banks was called <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/stablecoins-countermeasure-operation-chokepoint" rel="noopener noreferrer nofollow" target="null" text="null" title="null">Operation Chokepoint 2.0</a> by crypto venture capitalist Nic Carter, who <a data-ct-non-breakable="null" href="https://x.com/nic__carter/status/1622973966360133634" rel="noopener noreferrer nofollow" target="null" text="null" title="null">saw</a> it as a “coordinated effort” to unbank the crypto industry.
Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/nothing-is-a-coincidence-with-the-government-claims-us-lawmaker-on-operation-choke-point-2-0" rel="noopener noreferrer nofollow" target="null" text="null" title="null">‘Nothing is a coincidence with the government,’ claims US lawmaker on Operation Choke Point 2.0</a>
<h2 id="tech-industry-debanking-is-why-andreessen-supported-trump">Tech industry debanking is why Andreessen supported Trump</h2>
The ongoing tech and crypto industry debanking is why Andreessen decided to support Donald Trump in the the US presidential election on Nov. 5.
During the three-hour podcast episode with Joe Rogan, Andreessen stated:
<blockquote>
 “This is why we ended up supporting Trump. We can’t live in a world where somebody starts a company that’s completely legal, and then gets sanctioned and embargoed by the US government, through a completely unaccountable, no-due process.”
</blockquote>
Trump’s victory is seen as a net positive for crypto regulations and risk assets leading into 2028. Demand for leveraged Ether (<a data-ct-non-breakable="null" href="https://cointelegraph.com/ethereum-price" rel="noopener noreferrer nofollow" target="null" text="null" title="https://cointelegraph.com/ethereum-price">ETH</a>) exchange-traded funds rose over <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/leveraged-eth-etf-demand-up-160-trump-win-ether-4k" rel="noopener noreferrer nofollow" target="null" text="null" title="null">160% since Trump’s</a> victory, signaling a potential ETH rally to above $4,000.
Magazine: <a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/unstable-coins-de-pegging-bank-runs-other-risks-2023/" rel="noopener noreferrer nofollow" target="_self" text="null" title="https://cointelegraph.com/magazine/unstable-coins-de-pegging-bank-runs-other-risks-2023/">Unstablecoins: Depegging, bank runs and other risks loom</a>

Crypto founders share debanking stories during ‘Operation Chokepoint 2.0’

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