Senator Loomis: Allowing crypto companies to use “lite” master accounts will end “Operation Chokehold 2.0”

PANews reported on December 28th, citing Cointelegraph, that Cynthia Lummis, a pro-cryptocurrency U.S. Senator from Wyoming, stated that Federal Reserve Governor Christopher Waller's recent proposal to allow cryptocurrency companies to use "simplified" master accounts will end the debanking process under "Operation Chokehold 2.0." "Governor Waller's simplified master account framework ends 'Operation Chokehold 2.0' and opens the door to genuine payment innovation. Faster payments, lower costs, and greater security—this is how we responsibly build the future."

Waller proposed the idea at the Payments Innovation Conference in October, which would allow cryptocurrency and fintech startups, including banks that only provide payment services, to open accounts at the Federal Reserve similar to bank “master accounts,” but with some restrictions.