Key Takeaways
- Crypto lawyer John Deaton calls for a federal investigation into Operation Chokepoint 2.0.
- Deaton volunteers to lead the investigation without a salary.
- Trump has vowed to end the operation, promising a crackdown on regulatory overreach.
John Deaton, a prominent pro-crypto lawyer, is pushing for a full federal investigation into Operation Chokepoint 2.0.
Deaton, who recently won the Massachusetts Republican Senate primary, has volunteered to lead the investigation.
He claims that Operation Chokepoint 2.0 is not only a corruption-driven effort but also a dangerous overreach that harms the American economy.
Federal Investigation into Operation Chokepoint 2.0
Deaton called for a deeper investigation into high-profile crypto bank collapses in 2022, including Silvergate and Silicon Valley Bank (SVB), during the peak of the bear market. These events fueled suspicions that government agencies were targeting the crypto space.
While the Biden administration has denied orchestrating such an operation, documents obtained by Coinbase suggest otherwise.
The documents revealed a coordinated effort involving 23 “pause letters” sent to banks to halt their services to crypto companies. Coinbase filed a motion to access unredacted versions of these letters and, as of Jan. 3, 2025, had received them.
“When lawful businesses are cut off from essential financial services based on political agendas rather than established law, it doesn’t just stifle one industry—it sets a dangerous precedent,” Deaton wrote.
According to Deaton, if properly investigated, the operation could uncover a network of decision-makers who are using their power not to protect markets or consumers but to suppress industries they personally oppose.
Trump’s Promise to End Chokepoint 2.0
Deaton’s calls for a federal investigation come as Donald Trump prepares for his return to the White House.
Trump, who received significant support from the crypto community during the 2024 election, has made clear his stance on Operation Chokepoint 2.0.
At the Bitcoin Conference in July 2024, Trump addressed the issue directly, promising to end the operation if he were elected.
“As president, I will immediately shut down Operation Choke Point 2.0,” Trump said. “They want to choke you, they want to choke you out of business—we’re not gonna let that happen.”
Deaton believes that Trump’s administration could offer the political will needed to thoroughly investigate the operation, which he views as more than just regulatory overreach.
Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
His coverage spans major industry events, including the high-profile collapses of FTX, Three Arrows Capital (3AC), and LUNA, offering readers insightful analyses of their regulatory and market implications. Prashant’s technical background enables him to bridge the gap between intricate blockchain technology and its real-world applications, making his work accessible to novices and experts.
Beyond his professional pursuits, Prashant is an avid music enthusiast, often exploring diverse genres to unwind. A sports lover, he has a particular passion for cricket and frequently engages in discussions about the game. His multifaceted interests and sharp journalistic instincts make him a valuable contributor to CCN, where he continues shaping the crypto landscape's narrative.
