Crypto and Fintech Groups Urge Trump to Defend Open Banking Rule Against Big Banks’ Legal Challenge

A coalition of cryptocurrency, fintech, and retail trade associations has called on former President Donald TRUMP to protect the U.S. open banking framework. Major banks are mounting legal challenges that could undermine consumer data rights and stifle financial innovation.

The Financial Technology Association, Blockchain Association, and crypto Council for Innovation argue that large banks aim to roll back progress by imposing restrictive data access fees and contesting the open banking rule in court. This could limit Americans' ability to use digital wallets, payment apps, and investment platforms reliant on secure bank connectivity.

Finalized during Trump's administration, the open banking rule established legal protections for consumers to share financial data with third-party services without cost. It also implemented robust security standards, positioning the U.S. as a leader in fintech. Despite these advancements, the nation's largest banks filed lawsuits to block implementation on the same day the rule was enacted.

Trade groups accuse banks of exploiting regulatory ambiguity to maintain dominance and hinder competition. The outcome of this battle could shape the future of financial technology adoption and consumer choice in digital assets.