Crypto Industry Calls on Trump to Halt JPMorgan’s Data Fees Amid USDT Stability Concerns
In a significant move, ten major fintech and cryptocurrency trade associations, including the Blockchain Association and Crypto Council for Innovation, have urged President Trump to intervene against JPMorgan's proposed fees for consumer banking data access. The groups argue that these fees could destabilize the adoption of stablecoins like USDT and USDC, as well as hinder the functionality of self-custody wallets by creating barriers for data aggregators such as Plaid. This dispute highlights the growing tension between traditional financial institutions and the burgeoning crypto industry, with potential implications for the future of digital asset accessibility and stability. The current date is 2025-07-25.
Crypto Industry Urges Trump to Block JPMorgan's Data Access Fees
Ten major fintech and crypto trade associations, including the Blockchain Association and Crypto Council for Innovation, have petitioned President Trump to intervene against JPMorgan's proposed fees for consumer banking data access. The groups warn this move could destabilize stablecoin adoption (USDC, USDT) and self-custody wallets by creating barriers for aggregators like Plaid.
The dispute centers on fund transfers to exchanges such as Coinbase and Kraken, which rely on free data access currently provided by banks. JPMorgan's planned fees—reportedly up to $300M annually for Plaid alone—would consume over 75% of the company's revenue, potentially crippling innovation.
"Financial data belongs to the American people, not the banks," asserts the coalition's letter, framing the issue as a threat to U.S. leadership in financial technology. The WHITE House faces a July 29 deadline to act before the policy takes effect.
Tether Eyes US Market Return
Tether, the issuer of the world's most widely-used stablecoin, is preparing to re-enter the US market after a four-year absence. The company was previously barred from New York markets but now sees an opportunity following President Trump's approval of new stablecoin regulations. Tether CEO Paolo Ardoino revealed plans to serve US institutional clients, targeting banks and trading firms rather than retail users.
The Genius Act, signed into law on July 18, establishes federal oversight for stablecoins, paving the way for mainstream financial institutions to adopt these digital tokens. This regulatory clarity could help Tether challenge Circle's dominance in the American stablecoin market. Circle's USDC token currently leads the domestic sector, contributing to a 500% surge in its stock since its June IPO.
Tether's USDT token, with $162 billion outstanding, dwarfs Circle's $64.7 billion USDC, making it the largest stablecoin globally. However, the company faces hurdles due to its regulatory history, including a $60 million settlement in 2021 over misrepresentation claims.
Tether Assists U.S. in Freezing $1.6M Linked to Terror Financing Amid Expansion Plans
Tether, the issuer of the USDT stablecoin, has frozen $1.6 million in assets tied to wallets allegedly used by a Gaza-based money transfer network for terror financing. The action was part of a broader U.S. Department of Justice crackdown on digital assets funding terrorist groups.
The company has now blocked over $2.9 billion in USDT linked to illicit activities, collaborating with more than 275 law enforcement agencies across 59 countries. Over 5,000 wallets have been frozen, with U.S. authorities involved in more than half of these cases.
Tether CEO Paolo Ardoino emphasized the transparency and traceability of blockchain assets, positioning USDT as a tool for law enforcement. The firm is also preparing to re-enter the U.S. market with a new regulated stablecoin under the GENIUS Act.
