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Operation Choke Point 2.0 is an alleged initiative by the Biden administration aimed at restricting crypto firms' access to banking services, drawing parallels to a previous program under Obama. Critics argue that regulatory actions from agencies like the SEC and FDIC have pressured banks to sever ties with the crypto industry, despite official denials of the program's existence. Trump has pledged to dismantle this initiative if re-elected, echoing his previous efforts to end the original Operation Choke Point.
Bitcoin is projected to reach $145,000 by mid-2025, with a best-case scenario of $200,000, driven by significant institutional adoption and $36 billion in investments into spot Bitcoin ETFs. Analysts anticipate minor corrections but a steady upward trend, particularly following the April 2024 halving event. Predictions suggest potential peaks around late 2025, with some experts envisioning prices as high as $900,000 if Bitcoin matches gold's market cap.
Bitcoin is projected to reach between $145,000 and $200,000 by mid-2025, driven by strong institutional demand and mild price corrections, according to Bitfinex analysts. With over $36 billion invested in U.S.-based spot Bitcoin ETFs, the market is expected to see continued growth despite anticipated volatility in early 2025. Speculation around a potential U.S. Bitcoin strategic reserve under a new administration could further alter market dynamics.
Solana has surpassed Ethereum in new developer onboarding for the first time since 2016, with an 83% increase in 2024, attracting 7,625 new developers compared to Ethereum's 6,456. This growth is attributed to Solana's user-friendly architecture, low transaction costs, and the efficiency of the Solana Virtual Machine. Meanwhile, Asia has overtaken North America in developer share, with India leading in new crypto developer onboarding, as regulatory pressures in the U.S. contribute to a decline in its developer share.
Donald Trump’s transition team is considering consolidating or eliminating key banking regulators, which could create a more favorable environment for the cryptocurrency market. This potential reform includes merging the FDIC, OCC, and Federal Reserve, aiming to reduce regulatory burdens that some view as stifling innovation. As Trump prepares to appoint a new FDIC leader amid criticism of current oversight practices, the crypto sector is rallying behind pro-crypto candidates, marking a significant shift in regulatory dynamics that could enhance operational efficiency and investor confidence.
Banks are increasingly distancing themselves from the crypto industry, citing regulatory scrutiny and the need to mitigate risks associated with potential illegal activities. This trend, often referred to as "derisking," has led to significant account closures for crypto entrepreneurs, raising concerns about a possible repeat of the controversial Operation Chokepoint initiative from the Obama Administration. Critics argue that this could stifle legitimate businesses while regulators maintain that their actions are necessary to protect the banking system's stability.
Regulatory scrutiny of the cryptocurrency sector has intensified, with U.S. banks like Customers Bank and United Texas Bank facing enforcement actions for deficiencies in anti-money laundering practices. Meanwhile, TD Bank received a multi-billion-dollar fine for failing to monitor transactions adequately. Despite these challenges, European firms like Sygnum Bank and Bison Digital are finding opportunities for growth by adapting to the evolving regulatory landscape.
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