Crypto Analyzer

Theories Behind US Crypto Hostility: Insights from Ethereum Co-Founder Joe Lubin

In the realm of cryptocurrency, the landscape is constantly evolving, with regulatory challenges often at the forefront of industry discussions. Recently, Ethereum co-founder Joe Lubin shared his perspective on the current crypto environment in the United States, shedding light on potential motivations behind the increasing hostility towards crypto.

Root Causes of Crypto Crisis

While many industry voices have pointed fingers at specific political figures like President Biden, Senator Elizabeth Warren, and SEC Chair Gary Gensler for their stance on crypto, Lubin offers a different viewpoint. In an exclusive interview with Decrypt, he suggests that the resistance against crypto in the US may be orchestrated by a larger entity, possibly linked to the banking lobby.

Lubin posits that the disruptive nature of crypto and decentralization poses a threat to traditional finance and the longstanding global influence of the US. This perspective hints at a nonpartisan force safeguarding American interests, which may explain the escalating pushback against crypto innovations.

The Notion of “Operation Choke Point 2.0”

Drawing parallels to the controversial “Operation Choke Point” initiative by the Department of Justice, which targeted certain industries from accessing banking services, Lubin and others in the crypto industry speculate the existence of a similar concerted effort against crypto companies, termed “Operation Choke Point 2.0.” This theory suggests a coordinated strategy at the federal level to impede the growth of the crypto sector.

Clash of Civilizations

Lubin frames the current clash between decentralization advocates and the established American establishment as a long-foreseen confrontation. With the SEC’s recent crackdown on crypto companies, including Consensys, the Ethereum software company founded by Lubin, he sees this as part of a broader struggle between innovation and regulatory control.

Wall Street’s Role and Decentralization

While some traditional financial institutions have shown interest in crypto through products like Bitcoin and Ethereum ETFs, Lubin warns against mistaking this as a genuine endorsement of decentralization. He suggests that while Wall Street may profit from crypto ETFs, their support for true decentralization remains questionable, given the potential threat it poses to their existing systems.

Overall, Lubin’s insights provide a thought-provoking look into the complexities underlying the US government’s stance on crypto and the broader implications for the industry’s future.