- Trump will sign an executive order banning banks from denying services based on political or religious views, targeting “debanking” practices.
- The order removes “reputational risk” from federal guidelines and calls for reviews of past banking policies tied to political discrimination.
- JPMorgan and Bank of America were accused of discriminating against Trump, though the banks deny closing accounts for political reasons.
President Donald Trump has announced plans to sign an executive order that aims to end “debanking” practices in the United States. The directive would penalize financial institutions that restrict services based on a customer’s political or religious views. According to a senior White House official, the order will also remove language around “reputational risk” from federal banking guidelines, a term critics say banks have used to deny services to politically unpopular groups.
The move follows growing complaints from conservative circles and crypto advocates about being excluded from traditional banking systems. The order will also direct regulators to review banks’ historical or current policies for political bias and ensure adherence to equal credit and consumer protection laws. Banks found in violation could face enforcement actions and financial penalties.
Executive Order Targets “Operation Chokepoint 2.0”
The new policy is being described as a response to “Operation Chokepoint 2.0,” a term used by crypto industry insiders to describe what they believe was systematic banking discrimination under the Biden administration. The crypto community alleges that federal pressure pushed banks to deny access to blockchain and digital asset firms without legal justification.
Trump’s executive action intends to reverse these perceived injustices and extend banking protections to all legally operating businesses, including those in the crypto sector. Regulators will be instructed to ensure that banks are not engaging in politically motivated discrimination and that access to financial services remains neutral and lawful.
Trump Accuses Major Banks of Political Discrimination
In a statement to CNBC, Trump accused JPMorgan Chase and Bank of America of cutting ties with his businesses after his first term ended. He argued that his administration had treated these institutions well, only to be penalized politically. In response, a spokesperson from JPMorgan reaffirmed the bank’s stance that account closures are not based on political reasons, but added that they welcome regulatory changes to clarify industry standards.
This development reflects Trump’s broader push to position himself as a champion of political neutrality in financial services. It also aligns with his ongoing pro-crypto stance, which includes support for domestic digital asset projects and regulatory clarity for blockchain businesses.
