Senator Warren urges Trump to support the Consumer Financial Protection Bureau against de-banking initiatives

ChainCatcher news, according to Bloomberg, Democratic Senator Elizabeth Warren wrote to Trump urging him to support the Consumer Financial Protection Bureau (CFPB) in its efforts to prevent banks from arbitrarily closing accounts. She warned that attempts to undermine the CFPB would only exacerbate the problem.

The Trump administration fired Director Rohit Chopra and appointed Scott Bessent, a supporter of cryptocurrency, as acting director, who has suspended some regulatory activities. Warren emphasized that the issue is bipartisan and mentioned Trump's criticism of U.S. banks and JPMorgan at the Davos Forum for restricting business dealings with certain clients.

At a Senate Banking Committee hearing, Anchorage Digital CEO Nathan McCauley stated that his company faced account closures by banks due to its cryptocurrency business and struggled to find new banking partners. The Bank Policy Institute responded that banks must manage risks and meet regulatory requirements, suggesting a need to fix the regulatory structure.