Major Banks Dodge Trump’s Wrath – Is Crypto the Big Winner?

Wall Street’s giants are scrambling to avoid political crossfire—while Bitcoin quietly eats their lunch.

Banks vs. Trump: The showdown nobody wanted

JPMorgan, Citi, and BofA are bending over backward to stay off Trump’s infamous blacklist. Meanwhile, decentralized networks keep humming along—no permission needed.

Crypto’s regulatory arbitrage play

While traditional finance wrestles with political landmines, blockchain projects operate in regulatory gray zones. No CEO to subpoena, no headquarters to raid—just unstoppable code.

The irony? Banks created this monster

After decades of squeezing customers with fees and gatekeeping, the old guard practically begged for disruption. Now they’re watching their own clients defect to DeFi—with middle fingers raised.

Prediction: This ends with banks buying more Bitcoin ETFs than they’ll ever admit.

Banks Scale Back “Woke” Policies

“I’m not asking them to be MAGA banks,” said Todd Russ, Oklahoma’s state treasurer. “I want them to manage my portfolio and stay out of these political ideologies. I think they realize that’s a fair place to be.”

Citigroup recently ended a policy that restricted business with firearms vendors selling to buyers under 21, a MOVE discussed during a meeting with Texas Governor Greg Abbott. JPMorgan and others have updated their policies to clarify that they do not base decisions on political views.

Banks have also withdrawn from climate alliances targeted by Republican officials. Goldman Sachs, Morgan Stanley, and others are reevaluating restrictions on coal-related activities. Bank of America lifted a ban on coal financing last year.

At the federal level, the TRUMP administration is reportedly considering an executive order to prevent “debanking” based on political or religious views. This order could impact banks’ ability to engage in government business, including selling Treasury bonds.

In Congress, Republican senators have proposed legislation barring regulators from using reputational risk as a factor in exams. The Federal Reserve recently announced it WOULD no longer apply that standard, following direction from Trump-aligned officials.

Trump Expands Crypto Push

Against the backdrop of rising tensions between major financial institutions and Republican leadership, Trump’s expanding crypto activity introduces another potential fault line. By backing a Bitcoin-Ethereum ETF under the Truth Social brand, his media group is positioning itself at odds with institutions under scrutiny for ESG-linked decisions or perceived political biases.

"Welcome to the first-ever White House Digital Asset Summit. Last year, I promised to make America the Bitcoin superpower of the world, AND WE'RE TAKING HISTORIC ACTION TO DELIVER ON THAT PROMISE." –President Donald J. Trumppic.twitter.com/nqUrHQ1xLl

Unlike traditional banks now adjusting policies to avoid state blacklists, Trump’s ventures are embracing digital assets with overt political branding.

This contrast may appeal to constituents who feel underserved or penalized by large financial firms. It also offers an alternative infrastructure where political affiliation and crypto access intersect more directly.