Uniswap founder's bank account shut down by JP Morgan Chase, shadow-debanking allegations surface
On Sunday, Hayden Adams, CEO and founder of popular decentralized exchange, or DEX, Uniswap (UNI), claimed that his JP Morgan Chase bank accounts were shut down with no explanation. In addition, Adams stated that the incident was personal in nature as he knew "many individuals and companies who have been similarly targeted simply for working in the crypto industry."
This week @jpmorgan @Chase closed my bank accounts with no notice or explanation I know many individuals and companies who have been similarly targeted simply for working in the crypto industry Thanks for making it a personal
Former Commodity Futures Trading Commissioner Brian Quintenz responded with a comment suggesting that the move was likely an instance of "shadow de-banking of crypto by the Federal Reserves and Office of the Comptroller of the Currency bank examiners."
Quintenz explained that banks are contractually prevented from telling customers the reason for ending the business relationship if they deem them too risky. Although most users commiserated with Adams on the alleged debanking, others maintained that there is no universal right to a bank account and, therefore, banks have the discretion to act as they deem fit.
Likely a shadow de-banking of crypto by @federalreserve or @USOCC bank examiners, with direction from the top. If the examiner told a bank that a certain customer is too risky and the bank ended that relationship, the bank is contractually prevented from telling that customer why
Quintenz did not offer any further information to support his claim, instead linking to Wyoming Senator Cynthia Lummis' opinion piece published in the Wall Street Journal in November. In the article, Lummis criticizes the Fed for its failure to register
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