A fresh chapter in the often-strained relationship between traditional finance and the burgeoning digital asset industry appears to be unfolding, as Gemini co-founder Tyler Winklevoss has publicly accused JPMorgan Chase of halting the crypto exchange’s onboarding process. The alleged move comes in direct response to Winklevoss’s recent criticisms of the banking giant’s new data access policies.
The dispute centers on JPMorgan’s reported decision to begin charging financial technology (fintech) firms for access to customer bank data. This policy shift drew sharp rebuke from Winklevoss, who last week characterized it as “anti-competitive behavior” that could severely impede, or even “bankrupt,” fintech and crypto companies reliant on such data for their services.
“My tweet from last week struck a nerve,” Winklevoss stated in a recent social media post, detailing the alleged retaliation. “This week, JPMorgan told us that because of it they were pausing their re-onboarding of Gemini as a customer after they off-boarded us during Operation ChokePoint 2.0.”
“Operation ChokePoint 2.0,” a term used by some in the crypto community, refers to perceived regulatory and banking pressures during the Biden administration that allegedly led financial institutions to distance themselves from crypto businesses, often citing risk and profitability concerns. Gemini’s relationship with JPMorgan has indeed seen its share of turbulence, with past rumors about banking ties being severed, which Gemini had previously denied, affirming its relationship remained “intact.”
Winklevoss’s current allegations suggest a direct punitive measure by JPMorgan. He argues that the bank’s new data access fees, and now the alleged blocking of Gemini, are attempts to restrict consumers’ free access to their own banking data through third-party platforms like Plaid, which are crucial for integrating financial accounts with various apps and online services.
“Sorry Jamie Dimon, we’re not going to stay silent,” Winklevoss declared, addressing JPMorgan’s CEO. “We will continue to call out this anti-competitive, rent-seeking behavior and immoral attempt to bankrupt fintech and crypto companies. We will never stop fighting for what is right!”
The incident highlights the ongoing tension as the crypto industry seeks deeper integration with traditional financial systems. While major financial institutions like JPMorgan are exploring blockchain technology and digital assets, their approach to supporting independent crypto firms remains a point of contention. Cointelegraph reached out to both Gemini and JPMorgan for comment, but neither had provided a response by publication time.
Gemini, founded in 2014 by twins Cameron and Tyler Winklevoss, is a significant player in the digital asset space. The exchange recently filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC) and was last valued at $7,100 million in November 2021. The Winklevoss twins themselves have also been notable figures in the broader political landscape, particularly through their alignment and contributions to past political campaigns.
This latest development underscores the persistent friction as traditional finance grapples with the disruptive and increasingly vocal digital asset ecosystem.
