A top bank regulator spoke out forcefully on Tuesday against what he called the “debanking” of certain businesses, including cryptocurrency companies.
Rodney Hood, acting head of the Office of the Comptroller of the Currency, made the comments at a conference hosted by the Consumer Bankers Association, a trade group for retail banks. When CBA president Lindsey Johnson asked a question about “fair access,” Hood called this a “very polite” way of referring to debanking.
“I find it repugnant and odious that there are some entities out there that are not being allowed to [do business at] their banks of choice,” Hood said.
Without offering details, the acting comptroller said some “legitimate businesses” have found their bank accounts closed “for no apparent reason.” He did not specify which businesses these were, but he did say digital assets — which include crypto and other electronically stored properties — were among the industries targeted.
“Fair access is something that I take very seriously, and I believe that customers engaging in lawful activities should have access to financial services,” Hood said. “This includes our digital assets and digital customers as well.”
The issue of debanking has been in the news since the first week of President Donald Trump’s return to office. Just three days after his inauguration, Trump
CEO Brian Moynihan, without evidence, of arbitrarily closing conservatives’ accounts.
“I hope you start opening your bank to conservatives, because many conservatives complain that the banks are not allowing them to do business within the bank, and that included a place called
Last month, Trump’s secretary of the treasury, Scott Bessent,
On the day he was hired, Hood mentioned an end to debanking as part of his mission.
“I remain steadfastly committed to serving the American people and the banking system by creating a regulatory structure that fulfills our obligations, fosters innovation, and promotes financial inclusion, including those Americans who have been debanked and underserved,” Hood said in a
In his remarks on Tuesday, Hood did not explicitly accuse banks of shutting out conservatives. But he did imply that banks harbored a bias against digital assets, an industry that Trump has become an
Whatever the motive, Hood vowed not to condone debanking of any kind.
“I want you all to hear from me directly,” Hood told the CBA audience. “The OCC does not direct banks to open, close or maintain specific accounts … We do not tolerate this debanking. We are all about fair access.”
Hood has an extensive résumé serving under Republican administrations. During Trump’s first term, he served as chair of the National Credit Union Administration from April 2019 to January 2021. Under President George W. Bush, he was vice chair of the NCUA from 2005 to 2009.
Before entering government, Hood spent much of his career in the banking industry. In the 1990s and early 2000s, he was an assistant vice president at NationsBank (now
At the CBA conference, Hood told his audience — largely composed of bankers — that he and his team were “looking for ways to reduce your regulatory burden.” He also extolled the work of financial technology firms, and asked if any fintech workers were in the audience. Few spoke up.
“Don’t be afraid,” Hood said, prompting audience laughter. “I’m not going to regulate you.”