Venture capitalist David Sacks, who holds the informal title of U.S. “Crypto and AI Czar,” is publicly criticizing major banks and wealth platforms for what he calls the “last vestige of debanking.” Sacks is referring to the widespread restrictions that prevent many investors from accessing Bitcoin exchange-traded funds (ETFs).
According to data from Tephra Digital, over $31 trillion in U.S. wealth platform capital is either restricted or completely prohibited from being invested in Bitcoin ETFs. This includes:
- $10.3 trillion where access is fully prohibited by platforms like Vanguard, Edward Jones, and Citi.
- $20.8 trillion where access is restricted by factors such as account type, investment caps, or net worth, by institutions including Morgan Stanley, JPMorgan, and Wells Fargo.
Only about 38% of the tracked capital, or $19.1 trillion, is in platforms that offer unrestricted access, such as Charles Schwab and Fidelity.
Sacks’ comments follow a new executive order signed by President Donald Trump aimed at preventing the “ideological debanking” of crypto companies. The order eliminates “reputational risk” as a valid reason for banks to terminate customer relationships, a practice that crypto advocates believe was used to unfairly blacklist the industry.
August 2025, Cryptoniteuae
