JPMorgan Chase Closes Accounts Linked to Crypto Firms, Warns on Bitcoin Treasury Risks
Account closures affecting ShapeShift and Strike executives fuel renewed fears of ‘Operation Chokepoint 2.0’ and restricted banking access for U.S. crypto industry participants.
JPMorgan Chase has reportedly closed accounts of multiple individuals in the crypto industry without prior notice, including ShapeShift executive Houston Morgan and Strike CEO Jack Mallers. Morgan stated his business account was shut on November 21, with his personal account set to close this week. Mallers previously alleged his account termination was linked to his Bitcoin advocacy and public criticism of Jeffrey Epstein. These closures have intensified fears of ‘Operation Chokepoint 2.0,’ a perceived effort to restrict financial services for digital asset businesses. U.S. Senator Cynthia Lummis condemned the practice as damaging to trust and innovation, warning it could push crypto operations offshore.
- Crypto debanking: The practice of banks closing or denying accounts to individuals or businesses involved in cryptocurrency activities.
- Operation Chokepoint 2.0: A term used in the crypto community to describe alleged coordinated actions by regulators or banks to restrict financial access for cryptocurrency-related entities.
- Bitcoin treasury: A strategy in which companies hold significant amounts of bitcoin as part of their corporate reserves or balance sheet assets.