*BLUF
On Nov 30, U.S. House Financial Services Committee released a 790 pages of FDIC documents uncovering Operation Chokepoint 2.0 showing evidence of four federal agencies in a coordinated campaign to snuff out crypto by broadly, choking off compliant companies from access to banking services.
Good afternoon,
1 year ago, Congress heard our testimonies.
2 weeks ago, Congress released the receipts.
Calling sh*t out,
Austin Campbell
Teaching DeFi to NYU Stern
Bridging TradFi at Zero Knowledge
ZERO IN
BACK UP :
🏛️ OPERATION CHOKEPOINT 2.0
One coordinated campaign to effectively, crush crypto—and everything crypto touches, from the miners to the exchanges, to executives, workers, token holders…and even their children?
🏛️ 1 ADMIN, 2 FACES
REALITY CHECK Biden Administration's internal comms acknowledged crypto was used less for money laundering than traditional money—illicit activity accounted for 0.24% of crypto transactions vs up to 5% in cash systems
PUBLIC | PRIVATE | |
|---|---|---|
SAID | FDIC sends 24 "pause letters" to banks: "Pause all efforts to provide or expand crypto-asset services." | |
DID | The Fed, FDIC, OCC, SEC issue that joint statement to the public. | FDIC sends 24 "pause letters" to banks: Private, along with confidentiality clauses. |
BACK IT UP
☠️ 4 SQUADS, 4 STRATEGIES
FED
Stalking
Novel Activities Supervision Program requires banks to seek Fed pre-approval prior to any crypto activities.
"Heightened supervision" after approval (forever)
FDIC
Shadow Ops
Sent 24+ banks confidential "pause letters"—marked "Do Not Distribute."
Banks couldn't tell their crypto clients accounts would close. Couldn't warn employees about layoffs. Couldn't go public about regulatory threats.
OCC
Siege
Interpretive Letter 1179: banks submit for "Non-Objection" letters. Then wait. And wait. Letters never arrive.
Stuck in purgatory—can't proceed, can't progress. Red tape as deterrent vs reasonable regulation.
SEC
Squadron
Assigned 50+ enforcement attorneys on crypto enforcement—brought 46 actions in 2023 (record high), lawsuits against Coinbase filed 7 days before Congressional hearings on crypto regulations.
F*ED UP
AMERICAN IDIOCRATS
Loss of GDP
House Financial Services Committee report (Dec 2025): these actions "pushed innovation offshore" and created a "chilling effect" that harmed U.S. competitiveness.
Marathon Digital testified debanking forced them to move 50% of revenues offshore, pushing "innovation and capital outside the United States"
Europe, Singapore, Abu Dhabi winning substantial U.S-native finance + technology companies, their business, projects, talent… U.S? Losing.
Loss of Jobs
Crypto companies got 24-72 hours notice ahead of account closure —Some scrambled to pay bills, rent, make payroll. Some prepared to shut down and lay off staff.
Anchorage Digital forced to do 20% layoffs (70 Americans) on being “shut out of the banking system," CEO Nathan McCauley testified.
67% of asset managers touching crypto faced banking challenges —vs. 0% for non-crypto alternative asset managers (hedge funds, real estate, art, antiques, etc).
F*ED UP
AMERICANS FAILED
Loss of Liberties
Winkelvii (Cofounders, Gemini) bank accounts closed despite their products’ dedication to regulatory compliance.
Crypto professional Katherine Minarik (CLO, Uniswap) and her spouse lost access to all accounts (even their childrens’ savings)—couldn’t pay bills, buy groceries, manage finances for her family.
Assuming you’re not one of the unlucky ones, you should know that you could’ve been. You, me… any crypto industry professional, peer, staffer …and spouses, children, anyone around us. Yikes.
ZERO OUT
🛡️ NO TO OCP 3.0
However, ANY future admin with ANY future agenda can roll this out again.
NO TO RIGHTEOUSNESS
YES TO RULE OF LAW
1. SAFE Guidance Act (H.R.4460) — Subjectivity removed in C.A.M.E.L.S.
2. HUMPS (H.R.3379) — Speed up on supervisory reviews, appeals.
3. FIRM (H.R.2702) Notice-and-comment, no regulation w/o communication.
ZERO INSIDER
Preparing to professor. New semester at NYU Stern
Same ol’ DeFi class. Double class enrollment.
Dunked on banks. Privatized profit? Socialized risk? 🤬
Started a band. If you can’t christmas carol, I feel bad for you, son.
Launched my book "Stealing The Future: Sam Bankman-Fried, Elite Fraud, and the Cult of Techno-Utopia" . Snag one: Repeater, McNally Jackson, Random House, Amazon.
Joined a band. I got 99 carols but I’ll show you one.
ZERO ON
1 Missed out? Bera Bares All, Bernie Was Right, Knot The King