This week decoded
Debanking is back in the spotlight. The OCC released findings from its supervisory review of debanking practices at the nine largest banks it oversees, putting fresh numbers behind a fight that has simmered in Washington for years. Meanwhile, prediction markets keep building a regulatory foundation: the CFTC issued a Notice of Proposed Rulemaking that would bring event contracts into the definition of a "swap," a move that could reshape how these markets are regulated. Patrick Witt has stepped down as Executive Director of the White House Crypto Council. His departure may hint at how much attention digital assets is expected get during the lame duck.
Read more below
Congress
Hearings
Congress returns in November after the midterm elections.
Legislation
Rep. Hillary Scholten (D-MI) introduced the Currency Options, Information, and Navigation (COIN) Act to direct the Small Business Administration to create learning modules to help small businesses learn how to evaluate the use of digital assets, such as cryptocurrency, for their operations. (Press release)
Rep. Eugene Vindman (D-VA) introduced the Make Data Centers Pay Act to require large and medium-sized data centers and high-density computing facilities, including those performing cryptocurrency mining or other distributed-ledger or digital-asset computations, to pay the full incremental costs associated with their electricity use. (Press release)
Trump Administration
Office of the Comptroller of the Currency (OCC)
The OCC released a report of its findings from its supervisory review of debanking activities at JPMorgan Chase Bank, Bank of America, Citibank, Wells Fargo Bank, U.S. Bank, Capital One, PNC Bank, TD Bank, and BMO Bank. The review finds that, between 2020 and September 2025, all nine banks had policies or practices that required, encouraged, or otherwise influenced denial or limited access to financial services to Americans because of their political or religious beliefs or lawful business activities. The supervisory review was performed in accordance with the President’s Executive Order “Guaranteeing Fair Access to Banking for All Americans.” (Press release)
Commodity Futures Trading Commission (CFTC)
The CFTC published a Notice of Proposed Rulemaking that proposes providing additional market clarity by expressly further defining the term “swap” to include event contracts, including those based on sports, politics, cultural, and weather-related events. The comment period ends November 18. (Press release)
White House
Patrick Witt stepped down from his role as Executive Director of the White House Crypto Council.
Noteworthy Quotes
ADMINISTRATION
White House
Patrick Witt posted “Serving in this administration has been the privilege of a lifetime. From helping to stand up the most successful presidential transition in history alongside Howard Lutnick and Linda McMahon, to rebuilding our defense industrial base as PTDO Deputy Under Secretary for R&E and then Acting Director of OSC at the Department of War, to driving forward President Trump’s vision to make the United States the ‘crypto capital of the world’ as Executive Director of the White House Crypto Council, I consider myself to have been the luckiest guy in the world over these past two years. First and foremost, I want to thank President Trump for the opportunity to serve the American people again in your second term. Your clear-eyed vision to ensure the United States remains the undisputed global superpower at this time of unprecedented technological change and geopolitical strife is critical to our nation’s future prosperity. Second, I want to thank David Sacks for your visionary leadership and mentorship. I am so grateful to have been able to work with you and learn from you over the past year. Thank you also to Emil Michael, James Mazol, Harry Jung, Nick Elliot, Tyler Williams, Luke Pettit, Jonathan Hurowitz, Andrew Rittenhouse, Michael Friedman, Alexander Titus, MJ Passalacqua, Will Scharf, James Braid, May Mailman, Steve Levine, Patrick Butler, Zach Carstens, and countless others across the administration for being the best colleagues anyone could ask for. It was an honor to serve alongside you. Lastly, thank you to SEC Chairman Paul Atkins and CFTC Chairman Mike Selig, Treasury Secretary Scott Bessent, Comptroller of the Currency Jonathan Gould, Senator Tim Scott, Senator Cynthia Lummis, Senator Bill Hagerty, Senator Bernie Moreno, Senator John Boozman, Senator Thom Tillis, Representative French Hill, and Representative Bryan Steil for your partnership in advancing crypto policy over the past year with the passage of the GENIUS Act and our work to advance the CLARITY Act. With regulators and elected officials like you, I rest easy knowing the future of digital asset innovation in America is bright. Regarding next steps, I’ll have more to share soon. For now, I’ll say this: I am extremely bullish on America as we embark upon a new golden age of technological advancement across multiple frontiers. I’m grateful to have done my part to unleash American innovation while in government, and I look forward to advancing that same mission in the private sector!
Commodity Futures Trading Commission (CFTC)
Chair Mike Selig posted “Fraud and manipulation know no borders. The CFTC has exclusive jurisdiction over prediction markets for this reason. These exchanges are interstate businesses that match the bids and offers of customers from across the country. Congress equipped the CFTC with the tools needed to enforce uniform standards, surveil and police fraud and manipulation, and protect customer funds across state lines.”
Securities and Exchange Commission (SEC)
Chair Paul Atkins posted “Patrick’s unwavering leadership was instrumental in advancing President Trump’s vision for American dominance in crypto. It was a pleasure to work with him. At the SECGov, we will continue to work toward establishing a common-sense and comprehensive crypto market structure in the U.S., one that accomplishes the President’s goals and builds on Patrick’s tremendous work.”
In remarks at the Security Traders Association’s market structure conference, SEC Division of Trading and Markets Director Jamie Selway said five CFTC-registered designated contract markets have filed to register as security futures exchanges and that he expects at least four to begin trading perpetual futures on securities this quarter. (Press release)
Federal Reserve
Vice Chair for Supervision Michelle Bowman delivered remarks at the Bangkok Economic Festival entitled “Supervisory Modernization After Silicon Valley Bank.” She describes lessons learned from the recent independent assessment of the failure of Silicon Valley Bank, how the Federal Reserve is enhancing supervisory effectiveness, and how modernization can improve the work of supervision around the world. (Press release)
CONGRESS
Prediction Markets
Rep. Steven Horsford (D-NV) posted “Nevada built the gold standard for regulated gaming: strict oversight, consumer protections, and good union jobs. Prediction markets are trying to skip all of it by calling bets ‘contracts.’ I’m fighting to make sure the same rules apply to everyone.”
Horsford also posted “Prediction markets are now adding deposit limits and self-exclusion tools, the same protections sportsbooks use, because what they offer is gambling. States and Tribes should regulate it, and my Prediction Markets Are Gambling Act makes that clear.”
Horsford also posted “Even the NFL recognizes that sports prediction market contracts are gambling, not financial products. We shouldn’t have to wait for the Supreme Court to act. It’s time for Congress to pass my bill to protect consumers, uphold state and tribal gaming laws, and ensure accountability.”
Sen. John Cornyn (R-TX) posted “Prediction markets are raising insider-trading concerns about jury cases via WSJ”
CLARITY Act
Sen. Cynthia Lummis (R-WY) posted “Democrats wanted crypto filers held personally liable for submitting false information to regulators— something the Clarity Act does. Any guesses how Democrats voted? That’s right; they voted no.”
Lummis also posted “Democrats demanded large trader reporting so regulators can spot manipulation early. We agreed it was a good provision and added it in the Clarity Act. Then Democrats voted against protecting markets from manipulation with large trader reporting.”
Lummis also posted “Democrats wanted a full regulatory regime for digital commodity pool operators and trading advisors. The Clarity Act builds it. Democrats voted ‘no’ on protecting investors pooled in crypto funds with real oversight.”
Lummis also posted “Democrats demanded a report on how digital commodity rules affect historically underserved communities. The Clarity Act delivers that. Then Democrats voted against it.”
Lummis also posted “Democrats demanded digital commodity banks communicate with customers based on fair dealings and good faith, not fine print. We said, ‘great; let’s put it in the Clarity Act.’ Then Democrats decided protecting consumers wasn’t such a big priority of theirs after all.”
Lummis also posted “Democrats wanted a dedicated CFTC office to advocate for retail crypto investors. The Clarity Act does that with the creation of the Office of the Retail Commodity Advocate. Democrats voted no on protecting retail investors with a dedicated CFTC advocate.”
Patrick Witt’s Departure from the White House
Financial Services GOP posted “Thank you patrickjwitt for your leadership and commitment to advancing the President’s digital asset agenda. Your efforts to move the CLARITY Act forward were critical to ensuring the United States remains a leader in financial innovation. Best wishes in your next chapter.”
Sen. Bill Hagerty (R-TN) posted “Patrick has been a tremendous asset in advancing POTUS’s agenda. From his service at DeptofWar strengthening America’s defense industrial base to his efforts at the White House championing digital assets, Patrick has proven himself to be a talented convener and a man of action. I hope Patrick remains engaged in these critical issues and continues to provide valuable thought leadership from his next role.”
Sen. John Boozman (R-AR) posted “Patrick’s leadership helped advance the conversation around the need for crypto market structure legislation that supports innovation, provides clarity for this evolving technology and protects consumers. I appreciate his collaboration with SenateAgGOP and wish him the best of luck in his next role.”
Sen. Cynthia Lummis (R-WY) posted “patrickjwitt, thank you for everything you’ve done to ensure America leads in digital assets. Your hard work and vision made a real difference. Wishing you all the best in what comes next!”
Miscellaneous
Rep. Dan Meuser (R-PA) posted “Under the Biden administration, government bureaucrats pressured and threatened banks to stop doing business with certain industries like fossil fuels, firearms, digital assets, and religious organizations. My FinancialCmte Subcommittee on Oversight and Investigations exposed this effort, and yesterday’s USOCC report confirmed many of our findings. This goes way beyond the scope of the federal government’s authority, and it’s exactly what Democrats will do if they regain power in Washington. My colleagues and I on the Financial Services Committee have advanced legislation to ensure future Democrat administrations cannot pressure banks into carrying out their far left ideology.”
Sen. Cynthia Lummis (R-WY) posted “No American should lose access to a bank account because of their politics or their industry, and that includes the digital asset businesses wrongfully targeted under Operation Chokepoint 2.0. Thank you SecScottBessent and USComptroller for working to ensure Americans have fair access to banking.”
On legislation during lame duck, Sen. Bernie Moreno (R-OH) said, “If we lose control of Congress, it’ll be the Last Supper. So it’ll be a giant reconciliation bill where we take all the Republican priorities that we can get done.” (Punchbowl)
WHAT I’M READING THIS WEEK
Restyling Crypto Tax and Market Structure Bills, Lee A. Sheppard, Tax Notes.
Secret documents reveal donors behind $330 million for Trump’s ballroom, Jonathan O’Connell, Sarah Blaskey and Aaron Schaffer, The Washington Post.
About Zero One Strategies
Zero One Strategies is a specialized government relations practice dedicated to navigating the complex landscape of U.S. federal policy in emerging technologies. As advancements in technology continue to outpace regulatory frameworks, Zero One Strategies aims to provide strategic guidance and bipartisan advocacy for innovators and businesses operating at the forefront of technological development.
The practice focuses on key areas such as artificial intelligence, digital assets, blockchain, decentralized technologies, cybersecurity, data, and digital infrastructure, as well as the multiple policy issues impacting these sectors, including tax and financial services.
Contact us at Stacey@ZeroOneStrategies.com
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