- Paul Grewal and other industry leaders will testify before Congress regarding alleged efforts to cut off crypto firms from banking services.
- Coinbase uncovered FDIC documents suggesting banks were instructed to sever ties with crypto businesses, raising concerns over regulatory influence.
- Lawmakers aim to investigate past regulatory actions and ensure fair oversight of the financial system for crypto-related enterprises.
Paul Grewal, Coinbase Chief Legal Officer (CLO), is scheduled to testify in the upcoming Operation Chokepoint 2.0 hearing before the Senate Banking Committee. The hearing, expected later this week, will address concerns over alleged efforts to restrict banking access for crypto-related businesses. Grewal will be joined by other key figures, including MARA Holdings CEO Fred Thiel.
The House Financial Services Committee together with the Senate Banking Committee will lead hearings regarding Operation Chokepoint 2.0. According to an announcement shared on X, Grewal is listed as a witness in both sessions scheduled for February 6. Other notable participants include Austin Campbell, CEO of WSPN, and Fred Thiel, who will testify before the House Financial Services Committee. The witness list remains open, with lawmakers indicating that additional individuals may still be added.
Senate Banking Committee Witnesses Confirmed
The Senate Banking GOP hearing will feature key testimonies, including Nathan McCauley, founder and CEO of Anchorage Digital. Other experts set to provide insights include Stephen Gannon from Davis Wright Tremaine LLP, Mike Ring from Old Glory Bank, and Aaron Klein from the Brookings Institution. Lawmakers aim to investigate previous regulatory actions that allegedly sought to exclude cryptocurrency businesses from traditional banking services.
Coinbase and Anchorage Digital to Provide Evidence Both Coinbase and Anchorage Digital have been affected by regulatory scrutiny linked to Operation Chokepoint 2.0. Coinbase recently obtained unredacted documents revealing that the Federal Deposit Insurance Commission (FDIC) instructed banks to sever financial services for crypto-related firms. Under Grewal’s leadership, Coinbase pursued legal avenues to access these records. His testimony is expected to provide new insights into the matter.
Anchorage Digital, a financial services provider in the crypto sector, has also been impacted by these regulatory actions. Additionally, concerns have emerged regarding enforcement measures targeting the Bitcoin mining sector. Fred Thiel, a key witness in the hearing, will likely discuss the broader effects of these regulations on the industry.
Lawmakers and Industry Leaders Push for Oversight Before taking office, President Donald Trump pledged to end regulatory restrictions on the crypto industry. His administration appointed David Sacks as the Crypto and AI Czar, who has committed to investigating concerns raised by industry participants. Additionally, Representative French Hill affirmed in December that lawmakers would conduct inquiries into these claims, reinforcing the current administration’s stance on regulatory oversight.
