Critics argue that the Biden administration's approach to cryptocurrency regulation failed to establish a clear framework, instead relying on aggressive enforcement actions. This strategy, they claim, drove legitimate companies offshore and stifled innovation, while allowing bad actors like FTX's Sam Bankman-Fried to thrive. The administration's lack of clear rules reportedly harmed consumers and hindered American innovation. The administration's critics also highlight "Operation Choke Point 2.0," where banks allegedly debanked lawful crypto businesses under regulatory pressure, cutting them off from the financial system without due process. This move reportedly affected individuals and small businesses relying on crypto due to traditional banking system shortcomings. Critics argue that the administration missed an opportunity to lead in digital asset regulation, instead creating a hostile environment for the crypto industry.