Lately there has been a lot to do about the crypto industry and the regulations surrounding it. Former head of the OCC, Brian Brooks, has expressed concern over the recent closure of some banks and believes this is part of a larger trend to choke the crypto industry.
Banks are closing their doors
Former head of the Office of the Comptroller of the Currency (OCC) Brian Brooks has his concerns voiced about the crypto industry. He believes the Biden administration’s regulators are working on what he calls Operation Choke Point 2.0, which aims to shut down crypto. However, Brooks thinks the crypto industry is not as easy to shut down as some think.
Last week, Silvergate Bank announced it will “voluntarily liquidate” and close, followed by Silicon Valley Bank which was closed by the California Department of Financial Protection and Innovation, and Signature Bank which was closed by New York State banking regulators. These banks, according to Brooks, are targeted by regulators who want to send a signal that will eventually suffocate the crypto industry. However, Brooks is convinced that the crypto industry is not that easy to stop.
Crypto regulation and cooperation
Brooks believes smaller banks will step up to partner with crypto companies, but it would be better if larger banks served the industry with better risk management. He is sure that regulators are working together to contain the crypto industry. Brooks emphasizes that the regulation of crypto is necessary, but it is important that there is collaboration between regulators and companies within the sector. This is the only way for the crypto industry to grow and prosper.
Brian Brooks is an important voice in the crypto industry and his concerns about Operation Choke Point 2.0 seem to be justified. It is important that regulators and companies within the crypto industry work together for the industry to grow and prosper. While bank closures seem to be a disturbing trend, Brooks is convinced that the crypto industry is not that easy to stop.