Jack Inglis, CEO of the Alternative Investment Management Association (AIMA), has expressed support for the Senate Banking Committee's investigation into debanking within the cryptocurrency industry. He said that this issue poses a threat to U.S. competitiveness in a press release dated February 6.
"It is encouraging to see the U.S. Senate Banking Committee, under the Trump Administration, finally take seriously the concerns raised by AIMA, and others, regarding the severity of debanking challenges faced by the digital asset industry," said Inglis. "AIMA's research found that the majority of crypto hedge fund managers questioned had suffered issues with accessing or growing banking services for their funds. This pernicious undermining of a growing industry threatens to stifle innovation and undermine the competitiveness of the U.S. digital assets sector."
On February 5, the Senate Committee on Banking, Housing, and Urban Affairs conducted a hearing titled "Investigating the Real Impacts of Debanking in America." According to Chairman Tim Scott's testimony, under what he termed "Operation Choke Point 2.0," federal regulators allegedly pressured banks to sever services with politically disfavored individuals and firms, particularly those associated with the crypto industry. Scott described the information regarding Operation Choke Point 2.0 as "alarming and disheartening," but noted that the hearing represents an initial step toward finding a bipartisan solution to prevent such issues from persisting or reoccurring.
According to AIMA's survey of 160 crypto hedge fund firms, 75% reported encountering "issues with accessing or growing banking services for their funds." Furthermore, among those firms warned about potential termination of their banking relationships, 98% indicated they were not provided with any clear reason for such actions.
Inglis joined AIMA in 2014 and also serves as chairman of Help For Children, a London-based organization. His previous roles include managing director at Barclays.