According According to a document recently published by four attorneys from the law firm Cooper & KirkPLLC. U.S. financial regulators are attempting to “force crypto businesses out of the financial system.” The paper, entitled “Operation Chokepoint 2.0,” states that legitimate businesses have been labeled as “reputationally risky” and, with the backing of state officials, federal bank regulators have set out to “expel their accounts from each of the banks subject to their oversight.”
Constitutional Issues Raised By Operation Chokepoint 2.0: Denying Businesses Of Due Process And Vital Constitutional Protections
Five Days ago Bitcoin.com News An article was published that examines recent discussions in the crypto-community. “Operation Chokepoint” The reasons why crypto advocates think the U.S. government is trying to stop access to cryptocurrency. On Monday?, Washington D.C. law firm Cooper & Kirk A paper was published on the subject, noting that U.S. regulators are supposedly fighting a “secret financial war” The crypto industry is being criticized
The paper’s authors, David Thompson, John Ohlendorf, Harold Reeves?, Joseph MastermanBegin by describing “Operation Chokepoint 1.0” before delving into “Operation Chokepoint 2.0.” The The initial stage allegedly began with the identification of lawful and law-abiding cryptocurrency entities. “reputationally risky.”
The The second phase of this operation aims to crush the crypto industry by restricting access to and from it. According The Cooper & Kirk paper, “in the back rooms of banks around the country, bank examiners explained that those financial institutions that continued to serve customers that the federal regulators had labeled ‘reputationally risky’ would suffer the consequences.”
The According to the law firm, one of the first steps taken was the Biden administration’s Office You can find the Comptroller You can find the Currency (OCC), rescinding a rule intended to “ensure fair access to banking services for several industries—including debt collection—previously cut off during the controversial Obama-era program Operation Chokepoint.”
The Cooper & Kirk Furthermore, the authors note that Federal Deposit Insurance Corporation (FDIC) was involved April 7, 2022. At At that point, the FDIC sent a letter to all entities under its control, asking them for information regarding their involvement and investments in crypto-related businesses. Cooper & Kirk’s white paper claims that Operation Chokepoint 2.0 is unlawful and unconstitutional.
“Operation Choke Point 2.0 denies businesses of their constitutional rights to due process in violation of the Fifth Amendment,” the paper’s authors explain. “Operation Choke Point 2.0 violates both the non-delegation doctrine and the anti-commandeering doctrine, depriving Americans of key structural constitutional protections against the arbitrary exercise of governmental power.”
The This white paper includes commentary from the author and details about the failures of three U.S. major banks that were associated with the crypto market. Signature Bank Ex-politician and board member Barney FrankWho suggested that? Signature’s seizure was meant to be an “anti-crypto” message.
What What are your thoughts on the allegations made in the Cooper & Kirk White paper? Do You think that Operation Chokepoint 2.0 is unconstitutional. If so, what should be done to protect crypto-businesses rights? Share Your thoughts are welcome in the comments below.
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