Catenaa, Wednesday, April 09, 2025-The US Department of Justice (DOJ) has disbanded its cryptocurrency crime unit, marking a significant departure from the Biden-era approach to digital asset regulation, reports said.
The move comes as the Trump administration rolls out a more industry-friendly crypto policy.
The National Cryptocurrency Enforcement Team (NCET), established in 2021 to tackle blockchain-related crime, was shut down Monday following a directive from Deputy Attorney General Todd Blanche, who previously served as Trump’s defense attorney during his 2024 criminal proceedings.
In a memo obtained by Fortune, Blanche criticized the previous administration for using the DOJ in what he called a “reckless strategy” to crack down on the crypto industry. The four-page document called for a pivot toward targeting individual criminal actors, rather than enforcing regulatory compliance on crypto platforms.
NCET had played key roles in high-profile prosecutions, including the Tornado Cash sanctions case and the $100 million Mango Markets fraud orchestrated by Avraham Eisenberg. Both cases garnered national attention, with Eisenberg convicted and Treasury sanctions later reversed by a federal court.
The shutdown reflects broader changes under Trump, who has pledged to make the U.S. a crypto innovation hub. In February, the SEC began scaling down its own crypto enforcement operations. Meanwhile, legislation aimed at regulating stablecoins is advancing through Congress, with at least one bill expected to reach Trump’s desk by June.
The shift signals a friendlier federal stance toward digital assets and a departure from the aggressive enforcement seen in recent years.
