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Banks Launch ‘Operation Chokepoint 3.0’ to Restrict Crypto and Fintech Access
A new wave of financial restrictions targeting crypto and fintech firms may be underway as banks begin rolling out what critics are calling “Operation Chokepoint 3.0.” According to Andreessen Horowitz general partner Alex Rampell, this initiative could significantly undermine access to banking services and consumer data essential for crypto platforms and digital finance startups.
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Rampell: Banks Reviving Chokepoint Tactics with New Fees and Barriers
Rampell warns that while Operation Chokepoint 2.0—an initiative under the Biden administration that sought to deplatform crypto firms—has come to an end, banks are now pursuing a privately driven version that may be even more damaging.
“Now the banks are aiming to implement their own Chokepoint 3.0 — charging insanely high fees to access data or move money to crypto and fintech apps — and, more concerningly, blocking crypto and fintech apps they don’t like,” said Rampell.
At the center of the controversy is the growing effort by major financial institutions to charge fintech and crypto platforms premium fees for accessing customer bank account data—fees that could total hundreds of millions of dollars annually.
JPMorgan Chase Implements Tiered Data Access Fees
Among the first major banks to adopt this model is JPMorgan Chase, which has announced a tiered fee structure for third-party access to customer account data. Higher fees will reportedly apply to payment-focused platforms, which often rely on continuous API access to facilitate real-time transfers.
A Chase spokesperson acknowledged the plan:
“We’ve had productive conversations and are working with the entire ecosystem to ensure we’re all making the necessary investments in the infrastructure that keeps our customers safe.”
Rampell pushed back against this framing, stating that the data in question—such as bank account and routing numbers printed on checks—has long been freely accessible and that charging for it now raises questions about monopolistic behavior.
Fintech & Crypto Platforms Could Face User Attrition
The new fees may disrupt operations at major platforms including Coinbase, Venmo (PayPal), and Robinhood, all of which rely on access to customer banking data to enable deposits, withdrawals, and balance verification.
Rampell emphasized the potential consumer impact:
“If it suddenly costs $10 to move $100 into a Coinbase or Robinhood account, maybe fewer people will do it.”
Such friction, he argues, could lead to a sharp decline in user participation across platforms—especially those targeting younger and cost-sensitive demographics.
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Crypto Advocates Call for Policy Intervention
Rather than seeking new legislation, Rampell believes regulators should intervene to prevent banks from erecting barriers that stifle innovation and restrict consumer choice:
“We don’t need new laws. We need an administration that won’t allow banks to destroy competitive fintech and crypto industries through manipulation.”
FAQs: Understanding Operation Chokepoint 3.0
What is Operation Chokepoint 3.0?
A privately driven effort by banks to restrict crypto and fintech operations by charging excessive data access fees and selectively blocking apps.
How is it different from Operation Chokepoint 2.0?
Version 2.0 focused on government pressure to debank crypto. In contrast, 3.0 involves bank-initiated commercial practices like tiered pricing for account data.
Which companies are most affected?
Platforms like Venmo, Coinbase, and Robinhood could see major user drop-off if added fees discourage asset movement and reduce platform affordability.
@ Newshounds News™
Source: Coinpedia
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Ripple CTO Proposes XRPL Infrastructure Upgrade as Ledger Surpasses 70M Monthly Transactions
Ripple’s Chief Technology Officer David Schwartz has unveiled plans for a new high-performance XRP Ledger (XRPL) server to enhance infrastructure resilience and analytics. The announcement comes as XRPL achieved a major milestone in July, recording over 70 million transactions—its highest monthly total to date.
CTO David Schwartz Shares Plans for Personal XRPL Server Initiative
In a recent post on X, Schwartz revealed his intent to build and operate a dedicated XRPL production server. Although not an official Ripple initiative, the server would serve the broader XRPL ecosystem by offering reserved connectivity slots for UNL validators and XRPL-linked services.
“This is something I’d be doing independently to support the network. It’s about improving performance monitoring and resiliency, not centralizing control,” Schwartz clarified.
The proposed server setup includes:
- AMD 9950X CPU
- 256 GB RAM
- High-speed NVMe storage
- Unmetered 10GB connection
- Data center hosting in New York City
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Schwartz emphasized that no individual server should be relied upon within XRPL’s decentralized framework. He intends to monitor real-time data flows and network behavior, with minimal interference to existing XRPL operations.
XRPL Ecosystem Sees Record Usage and Developer Momentum
According to Dune Analytics, the XRP Ledger processed over 70 million transactions in July, pushing its all-time count to approximately 3.83 billion transactions. XRPL’s daily average now stands at 1.8 million, reflecting consistent utility across global users.
Additional milestones include:
- Over 1 million new users added in 2025 so far
- 3,000 new wallets created daily
- More than 7 million total XRPL accounts
Growth has also extended to XRPL’s automated market maker (AMM) and decentralized exchange (DEX) systems:
- AMM volume increased 17%, reaching 408 million XRP
- DEX volume rose 21%, totaling 465 million XRP
Cross-Chain Adoption and Stablecoin Expansion Drive Ecosystem Utility
Cross-chain activity on XRPL is accelerating, with over $165 million in assets bridged via Axelar to EVM-compatible blockchains. The launch of an EVM-compatible sidechain on June 30 has already generated significant developer traction—with more than 1,400 smart contracts deployed in the first week.
In addition, the Brazilian real-denominated stablecoin BBRL, issued by BrazaBank on XRPL, saw issuance surge past $4.2 million last month. BBRL now ranks as the second-largest BRL stablecoin, behind Transfero’s BRZ.
These developments underscore XRPL’s growing reputation as a scalable, low-cost global settlement layer—and illustrate the importance of infrastructure investments like those proposed by Schwartz.
XRPL in Numbers – July 2025
Metric Value
Monthly Transactions 70+ million
Total Transactions (All-Time) 3.83 billion
New Wallets per Day 3,000+
AMM Volume 408M XRP (↑17%)
DEX Volume 465M XRP (↑21%)
Stablecoin (BBRL) Issuance $4.2M+
Cross-Chain Asset Transfer $165M+ via Axelar
Smart Contracts (New Sidechain) 1,400+ in first week
As Ripple’s ecosystem expands and developer engagement grows, efforts like Schwartz’s independent infrastructure upgrade highlight the importance of decentralization, transparency, and performance monitoring in supporting XRPL’s next phase of global adoption.
@ Newshounds News™
Source: Coingape
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Uniswap, a16z, and DeFi Allies Urge U.S. Senate to Shield Developers in Upcoming Crypto Market Bill
A coalition of major decentralized finance (DeFi) advocates—including Uniswap Labs, a16z Crypto, and the Solana Policy Institute—is calling on U.S. lawmakers to protect open-source developers and maintain tech-neutrality as Congress shapes the future of digital asset regulation.
Senate Banking Committee Reviews DeFi Protections Under RFIA Draft
The comments were submitted in response to a Request for Information (RFI) issued by the Senate Banking Committee, which is currently reviewing the draft of the Responsible Financial Innovation Act of 2025 (RFIA)—an updated legislative framework first introduced in 2022. The updated version aims to build upon the foundational CLARITY Act, which promotes innovation while preserving consumer protections and financial stability.
The response was filed by the DeFi Education Fund (DEF), a crypto policy nonprofit originally funded by Uniswap. It was co-signed by leading crypto organizations, including:
- a16z Crypto
- Jito Labs
- Jump Crypto
- Paradigm
- Multicoin Capital
- Uniswap Foundation
- Solana Policy Institute
- Variant Fund
Key Policy Recommendations from the DeFi Education Fund
In its official comment, the coalition emphasized four major policy imperatives that should guide Senate legislation:
1. DeFi Developers ≠ Centralized Intermediaries
Lawmakers should make a clear legal distinction between open-source DeFi developers and traditional custodial financial institutions. Developers of non-custodial protocols should not face the same compliance burdens as centralized intermediaries.
2. Technology-Neutral Regulation
Regulations should focus on function, not form—treating traditional and decentralized systems with parity, without favoring one architecture over another.
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3. Clarity on Registration Requirements
The law should clearly define who must register with financial regulators based on their level of control, custodial function, or ability to halt transactions—criteria that many decentralized protocols do not meet.
4. Federal Preemption to Prevent State-Level Weaponization
The DEF warns that without federal preemption, large incumbent financial institutions may exploit state laws to bring litigation or enforcement actions against DeFi protocols—not to protect consumers, but to stifle competition.
“Absent federal preemption, well-resourced traditional financial institutions may exploit the fragmented regulatory landscape by funding or encouraging state-level enforcement actions against DeFi developers — not to protect consumers, but to stifle competition,” the DEF wrote.
Call for Revised FinCEN Guidance in Light of Tornado Cash Case
The DEF also urged the Senate to clarify FinCEN’s existing guidance, which underpins the ongoing trial of Tornado Cash developer Roman Storm. The Department of Justice has charged Storm with violating federal laws by publishing open-source software used by illicit actors.
The coalition argues:
“Rulemaking should reflect that technology which solely consists of non-custodial, non-controlling software shall not be regulated as a financial institution or financial intermediary.”
Storm’s verdict is expected as early as next week, making this debate especially urgent for developers across the DeFi ecosystem.
What’s at Stake for DeFi in the RFIA Bill?
This moment marks a critical inflection point in how U.S. law distinguishes between traditional financial institutions and decentralized technology. The outcome will impact:
- The future legal status of DeFi developers
- The ability to publish open-source code without legal liability
- The competitiveness of U.S.-based DeFi innovation in the global economy
By engaging early in the legislative process, the crypto community hopes to ensure that U.S. digital asset laws foster innovation rather than stifle it.
@ Newshounds News™
Source: The Block
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