The Trump administration pushed a law that would require banks to provide services for lawful businesses. That initiative died with Biden’s inauguration.
The problem today is the gun industry, but it could be any industry deemed to be out of favor in the future. One man is trying to solve the issue by creating a cryptocurrency for any transaction.
Rob McNealy, a Second Amendment supporter, created the Universal Settlement Coin (TUSC), a cryptocurrency that focuses on providing the firearms industry with a tool that would allow gun stores and firearm-related manufacturers to provide goods and services completely outside of the banking industry.
Cryptocurrencies are increasingly seen as a viable alternative for purchasing goods. They exist completely outside of the banking system, which allows stores, suppliers, and customers to make transactions that can’t be cut off by banks worried about their reputation, the primary reason given for cutting off services. Earlier this week, Tesla announced it would start accepting Bitcoin, joining such companies as Microsoft, Home Depot, and Starbucks.
McNealy created the currency three years ago in response to Operation Choke Point, an Obama administration policy which increased scrutiny on banks that did business with the firearms industry and caused many to cut ties with the industry completely. Though Operation Choke Point was ended in the first months of the Trump administration, many banks continued to deny services to the firearms industry due to pressure from gun-control activists.
One impacted company was Spike Tactical, a Florida gun manufacturer that was told by its bank to find services elsewhere and was cut off by e-commerce provider Shopify. Cole Leleux, the company’s CEO, said accepting cryptocurrency helps mitigate the threat of future disruptions.
“I’d urge a lot of the gun companies to look at crypto,” Leleux said. McNealy says his currency is especially suited for use in brick-and-mortar gun stores due to stable transaction fees and easy transfers.
Most people aren’t familiar with cryptocurrencies, and certainly don’t own any. But as critical industries such as banks begin to pick winners and losers based on politics and social agendas, we could see a lot more digital dollars like TUSC popping up.