Editorial Board
‘Debanking’ Dispute Highlights a Real Problem
Fixing anti-money-laundering rules can reduce the burden on banks and limit the harm to innocent customers.
A bank account would help.
Photographer: Brett Carlsen/Bloomberg
Why would a bank suddenly shut down a customer’s adequately funded account? Some leading Republicans, echoing tech titans like Marc Andreessen, have warned of a conspiracy among regulators to “debank” conservatives and crypto enthusiasts.
The real story is almost certainly more mundane, but it shows that the government’s approach to suspicious financial activity — especially in the age of cryptocurrency — isn’t as well-focused or transparent as it should be.