The industry alliance calls on Trump to protect open banking for DeFi development.

A coalition of associations representing the cryptocurrency, fintech, retail, and restaurant industries is calling on President Donald Trump to protect open banking regulations that are under legal attack by the largest banks in America.

In a letter sent on July 23, organizations such as the Blockchain Association, Crypto Council for Innovation, and Financial Technology Association accused powerful banks of stifling innovation by suing to block the implementation of open banking regulations while imposing "staggering" data fees on fintech and cryptocurrency applications.

Previously, on July 11, Bloomberg reported that JPMorgan plans to start charging fintech companies for accessing customer bank account data. According to the price list sent to customers, the fees vary depending on how the data is used, with payment processing companies facing higher fees.

"We would like to make it clear: financial data belongs to the people of America, not the banks," the letter states. "The freedom to choose financial tools and control personal data is the foundation of a free market and individual liberty — the core values of America."

The letter calls on the Trump administration to submit a legal summary before July 29, proposing that the court confirm that consumers — not banks — are the true owners of their financial data and have the right to share that data with the applications of their choice, completely free of charge.

The outcome of this lawsuit could shape the ability of the people in America to connect their bank accounts with platforms such as crypto exchanges, stablecoin wallets, and payment applications.

( What is an open bank?

Open banking is a legal framework that allows consumers to safely share their financial data with third-party applications through APIs.

This regulation was first proposed in 2022 during Donald Trump's first term and was officially finalized on October 22, 2024. It grants users the right to share financial data across platforms — a crucial foundation for the development of stablecoins, DeFi applications, and bridges between crypto and the traditional financial world.

"This regulation has raised safety and security standards, while also establishing reasonable principles that benefit the entire ecosystem, including banks, fintech companies, and digital asset businesses," the letter stated. "It helps the American financial system become a model for the whole world."

However, on the very day the regulation was issued, the Bank Policy Institute — representing major banks such as JPMorgan Chase, Wells Fargo, and Bank of America — filed a lawsuit to block the regulation, arguing that it poses security risks and creates an unfair burden on traditional institutions.

Currently, the open banking model has been implemented in many countries such as the United Kingdom, Brazil, and the countries in the European Union.

) Major banks have both opposed and quietly increased their investments in crypto.

Although they are litigating to prevent banks from opening, American banks are silently advancing further into the digital asset sector.

In May 2024, Mastercard along with 10 central banks in America, including Wells Fargo, participated in a tokenization experiment to test the usability of bank deposits and U.S. Treasury bonds in token form for instant payments on a shared ledger.

By July 15, JPMorgan continued to file a trademark application in America for "JPMD" — a blockchain-based stablecoin aimed at facilitating payments between institutions. In the application, the bank outlined its plan to provide a range of crypto-related services, including digital asset trading, exchanges, remittances, payments, and clearing services.

President Donald Trump is currently one of the strongest supporters of crypto among world leaders. He has actively engaged with the crypto community, and some believe that the industry played a significant role in helping him win the recent election.

When signing the GENIUS Act on July 18, Trump declared: "I have committed to restoring freedom and America's leadership role, making the United States the capital of the crypto world — and now we have done it."