President is expected to sign executive order as soon as this week that targets debanking of businesses including crypto companies
The White House is preparing to step up pressure against big banks over perceived discrimination against conservatives and crypto companies with an executive order that threatens to fine lenders that drop customers for political reasons.
The draft order doesn’t name any specific banks but appears to refer to an instance where Bank of America was accused of shutting down the accounts of a Christian organization operating in Uganda based on the organization’s religious beliefs. The bank has said it closed the accounts because it doesn’t serve small businesses operating outside the U.S.
The draft order also criticizes the role that some banks played in an investigation into the Jan. 6, 2021, riots at the U.S. Capitol.
Cryptocurrency companies have said they were shut out of banking services under the Biden administration.
Banks, for their part, have said their decisions are driven by legal, regulatory or financial risks, including those stemming from the U.S.’s antimoney-laundering laws.
Under Trump, banking regulators have said they would stop assessing banks for what is called the reputational risk posed by their customers—a practice that banks have cited for their decisions to avoid certain customers or industries.