JPMorgan's new fees for data access could limit fintech firms' ability to connect with user accounts through third-party platforms.
Tyler Winklevoss warns that the fees may undermine crypto exchanges like Gemini and Coinbase that depend on open banking infrastructure.
The Open Banking Rule faces legal opposition, with major banks pushing back against mandatory third-party data sharing with fintech apps.
JPMorgan Chase has reportedly introduced a new policy requiring fintech companies to pay fees to access customer account information. This change follows a Bloomberg report stating that fintech platforms must now compensate the bank for data that has traditionally been shared freely through intermediaries such as Plaid.
In response, Gemini co-founder Tyler Winklevoss publicly criticized the move, stating it threatens the core infrastructure of many financial firms, including cryptocurrency exchanges like Gemini and Coinbase. According to Winklevoss, this decision could severely affect companies that rely on third-party data aggregators to fund user accounts.
Open Banking Rule Sparks Legal Dispute
Winklevoss also referenced the Open Banking Rule, which supports customer rights to share their financial data with third-party apps. However, major banks, including JPMorgan, have challenged the rule, claiming it exceeds the authority of the Consumer Financial Protection Bureau. The CFPB had earlier indicated it may repeal this regulation due to concerns from the banking industry about the complexity and risks of data sharing.
Winklevoss warned that charging fees for data access creates a serious disadvantage for fintech firms and crypto platforms. He described the situation as a form of regulatory capture that prioritizes institutional banking interests over consumer choice and technological progress. The change may reduce innovation and limit the functionality of platforms that depend on open financial data.
Ongoing Pushback Against Data Sharing Mandates
Banking groups have continued their legal push against the CFPB’s data-sharing requirements, citing security risks and increased regulatory obligations. Meanwhile, fintech firms argue that these moves restrict competition and reduce customer freedom.
The broader debate over data access, privacy, and open banking regulation remains unresolved. With both banking giants and fintech leaders clashing over control of financial data, the outcome of these disputes may shape the future of digital finance in the United States.
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