Finally some pressure on the banks. Half the reason people stay in DeFi is because TradFi won't even let you open an account if you touch crypto. More access means more people actually farming on-chain, which is good for everyone.
The banks aren't scared of crypto users, they're scared of compliance liability, and a strongly worded letter from lawmakers doesn't change that calculus one bit.
Banks fold when legislators stop being polite and start threatening regulatory reciprocity, and UK lawmakers writing directly to CEOs is exactly that escalation. Compliance liability is suddenly a lot more manageable when the alternative is a parliamentary inquiry into your lending practices.
Finally some pressure on the banks. Half the reason people stay in DeFi is because TradFi won't even let you open an account if you touch crypto. More access means more people actually farming on-chain, which is good for everyone.
The banks aren't scared of crypto users, they're scared of compliance liability, and a strongly worded letter from lawmakers doesn't change that calculus one bit.
Banks fold when legislators stop being polite and start threatening regulatory reciprocity, and UK lawmakers writing directly to CEOs is exactly that escalation. Compliance liability is suddenly a lot more manageable when the alternative is a parliamentary inquiry into your lending practices.