Blockchain Association Seeks Transparency in Crypto Banking Challenges

Call for Transparency in Crypto Banking

The United States-based Blockchain Association is urging financial regulators to reveal their involvement in what is perceived as the "de-banking" of crypto firms. This call follows the collapse of Signature Bank, Silicon Valley Bank, and Silvergate Bank, raising questions about the regulatory landscape for cryptocurrency businesses.

Freedom of Information Act Requests

To uncover the truth behind the bank failures, the Blockchain Association has filed Freedom of Information Act requests. These requests target the Federal Deposit Insurance Corporation (FDIC), the Federal Reserve, and the Office of the Comptroller of the Currency. The aim is to obtain documents and communications that might indicate whether regulatory actions unfairly contributed to these institutions' downfall.

Equal Treatment for Crypto Firms

Kristin Smith, CEO of the Blockchain Association, emphasizes the need for crypto firms to receive the same treatment as any other legitimate business in the United States. Access to banking services is crucial for their operations. Ensuring that crypto firms are not unfairly targeted is a key focus for the association.

Regulatory Scrutiny and Crypto

The situation highlights ongoing tensions between the crypto industry and financial regulators. As the sector continues to grow, clear and fair regulations are essential to support innovation while maintaining financial stability. The Blockchain Association's actions underscore the need for transparency and accountability from regulators.

This proactive approach aims to protect the interests of crypto businesses and promote a more equitable banking environment, crucial for the industry's future growth and sustainability.