Key findings
- High Rejection Rates: 75% of crypto hedge fund firms reported issues with accessing or growing banking services for their funds and 67% reported issues with accessing or growing banking services for the investment manager, compared to none of the traditional alternative investment managers surveyed.
- Unexplained Denials: 98% of crypto hedge fund firms that were notified their banking relationship might be terminated were given no clear reason.
- Broader Impacts: The debanking of these businesses negatively affects operational efficiency, investor confidence and talent acquisition. The existence of this problem across the US crypto industry more broadly (colloquially referred to as “Operation Choke Point 2.0”) has broader implications for the US’ reputation as a global leader in financial innovation and open markets.
About the research
The survey, conducted in October 2024, included 160 crypto hedge fund firms, 20 traditional alternative investment managers and 40 crypto technology firms.
Respondents were sourced via relationships with multiple service providers across the US to limit concentration bias by state or client type/size. The survey focused on basic cash management services, such as access to checking accounts used for vendor payments, rent, and salaries.
Basic cash management accounts are generally considered low-risk and beneficial to banks. Further, these accounts are typically seen as safe entry points for winning additional business, such as high-net-worth services for fund founders and portfolio companies.
AIMA DAWG
Download the report
We respectfully ask that those seeking to promote/share AIMA's published content online do so by using a link to the original source on AIMA's website rather than uploading the entire document to social media.
For more information about the report, please contact Michelle Noyes, Managing Director, Head of AIMA Americas.