Harris Campaign’s Crypto ‘Reset’ Questioned Amid Federal Reserve’s Crypto Crackdown

• Fed’s action on Customers Bank raises doubts about Harris’ crypto commitment.  
• Winklevoss labels Harris’ crypto ‘reset’ as a scam, questioning the administration’s support.  
• Hoskinson warns that a Harris presidency might extend current crypto industry hostility.

The United States Federal Reserve’s recent enforcement action against the crypto-friendly Customers Bank has raised questions regarding Vice President Kamala Harris’ commitment to mending relations with the cryptocurrency industry. 

The move, seen by many as part of a broader crackdown on the sector, has increased the scrutiny of Harris’ presidential campaign promises regarding the crypto market.

On August 9, Tyler Winklevoss, co-founder of Gemini, took to social media platform X to voice his concerns. Winklevoss highlighted the Federal Reserve’s actions: 

“Today, the Fed confirmed that Operation Choke Point 2.0 remains in full swing, provided valuable insight into how it works, and verified that the Harris crypto ‘reset’ is a scam.” His remarks have fueled skepticism about the administration’s sincerity in supporting the crypto industry.

The Federal Reserve’s 13-page enforcement action against Customers Bank requires the bank to provide 30 days advance notice before entering into new banking relationships with cryptocurrency companies. This directive is seen as a significant limitation on crypto firms’ ability to access essential banking services.

Winklevoss underscored the broader implications of this enforcement action, pointing out that Customers Bank is among the few remaining crypto-friendly banks in the U.S. 

He criticized the Federal Reserve’s approach, arguing that it centralizes decision-making power, allowing the Fed to control which crypto companies can open bank accounts. According to Winklevoss, this move could severely restrict crypto firms’ operational capacity.

Charles Hoskinson, founder of Cardano, echoed Winklevoss’ concerns, arguing that the current administration remains hostile to the crypto industry.

Hoskinson suggested that the policies under President Joe Biden’s administration, including those potentially supported by Harris, are detrimental to the industry. He cautioned that a Harris presidency might perpetuate what he perceives as an ongoing “war on crypto.”

In July, U.S. lawmakers and congressional candidates urged Democratic National Committee Chair Jaime Harrison to adopt a more progressive stance on digital assets and blockchain technology.