• Cooper & Kirk PLLC issued a white paper accusing US federal regulators of “clandestine financial war” against crypto industry
• The report claims that agencies such as FDIC and OCC are using “regulatory tools and pressure tactics” to limit the extent of digital assets integration
• Report raises concerns over increased regulatory scrutiny and Cooper & Kirk claims it deprives businesses of their constitutional rights to due process
Cooper & Kirk’s White Paper
Washington, D.C. law firm Cooper & Kirk PLLC on Friday 24th of March released a white paper alleging that US federal regulators are engaging in a „clandestine financial war“ against the cryptocurrency industry. The report claims that regulatory bodies such as the Federal Deposit Insurance Corporation (FDIC) and the Options Clearing Corporation (OCC) are using „regulatory tools and pressure tactics“ to limit the extent to which digital assets can be integrated into the financial system.
Operation Chokepoint 2.0
Dubbed „Operation Chokepoint 2.0,“ the report likens recent regulatory measures to similar initiative under Obama administration, which aimed to target fraudulent and high-risk industries such as tobacco and payday lending. According to this report, regulators have issued informal guidance documents that target crypto users deemed posing higher risk to banks.
Accountability Urged by Law Firm
The lawyers from prestigious firm Cooper & Kirk urged Congress to hold federal banking regulators accountable for their actions via white paper. They argued that Operation chokepoint 2.0 deprive businesses of their constitutional rights to due process, violates non-delegation doctrine, and anti-commandeering doctrine – thus depriving Americans of key structural constitutional protections against arbitrary exercise of governmental power.
Increased Regulatory Scrutiny Raised Concerns
The report raises concerns over increased regulatory scrutiny that crypto industry has been subject too in recent years, leading some businesses and individuals in the industry having access revoked form automated clearinghouse (ACH). Charles Hoskinson commented on this letter in YouTube video urging Congress take action on this issue proposed by Cooper & Kirk law firm’s letter.
Call for Action
While Cooper & Kirk claim they were instrumental in halting original Operation Chokepoint, they state it is now up for Congress take action on this issue raised via legal letter from them regarding alleged illegal overreach from US federal regulators on Crypto Industry.