SKN | Biden Admin Made ‘Coordinated Attack’ on Crypto: House Republicans

Lawmakers on the House Financial Services Committee allege that regulators under the Biden administration engaged in a “coordinated effort” to restrict the digital asset sector by pressuring banks to distance themselves from cryptocurrency firms. The claims, detailed in a newly released report, arrive at a moment when traditional banks, fintechs, and digital banking platforms are adapting to rapidly evolving financial rules. The issue has implications not only for crypto companies, but also for credit access, innovation, and the future of financial regulation in the U.S.

How Regulators Influenced Banking Relationships With Crypto Firms

The report alleges that federal regulators used informal guidance and heightened scrutiny to discourage banks from offering checking accounts, deposits, or credit products to firms involved in digital assets. This process, often referred to as debanking, resulted in at least 30 crypto-related companies losing access to essential banking services.

For example, Anchorage Digital — the only OCC-chartered crypto bank — reported losing a long-standing banking relationship after its financial institution grew uncomfortable with crypto-related transactions. Without access to basic financial services, companies faced challenges paying wages, covering administrative expenses, and maintaining stable operations.

The committee argues this approach restricted lawful financial activity while leaving banks unsure how to navigate compliance expectations.

Impact on Crypto Firms, Banks, and Innovation

Crypto companies rely on traditional banks for liquidity, payroll, deposits, and payment flows. When banks hesitate to support these firms, the lack of credit and transaction access can hinder growth and prevent the development of regulated, transparent financial products.

Banks, in turn, face uncertainty over how regulators may interpret their engagement with digital assets. The absence of clear rules affects decisions related to lending, deposit management, and digital banking partnerships. As interest in blockchain-based services grows, financial institutions are increasingly concerned that unclear guidance could limit future innovation and competitiveness.

The report also cited instances where high-profile crypto leaders — including executives from Ripple, Uniswap, and Gemini — were debanked, further illustrating the scale of the issue.

Shift in Regulatory Tone and Emerging Policy Proposals

Since early 2025, federal regulators have reversed several prior stances, easing restrictions and encouraging more dialogue around crypto markets. Comptroller of the Currency Jonathan Gould applauded the committee’s findings, arguing that excessive politicization has slowed modernization in the banking sector.

The committee recommends that the SEC provide clearer securities rules for digital assets and that Congress pursue comprehensive crypto market structure legislation. Lawmakers also highlighted the need for clearer frameworks around stablecoins, credit oversight, and digital banking integration.

Closing Insights

As digital assets become more intertwined with mainstream finance, the need for transparent, consistent regulation grows more urgent. Banks, investors, and customers benefit when innovation is balanced with responsible oversight. Clear rules will help ensure that credit access, lending, and digital banking services evolve alongside emerging technologies—without stifling growth or competitiveness in the U.S. financial system.

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