The DOJ’s dismantling of the National Cryptocurrency Enforcement Team marks a dramatic shift in crypto oversight under Trump. Deputy AG Todd Blanche’s memo announces an end to “regulation by prosecution,” focusing instead on serious crimes like terrorism financing. Critics eye the timing, noting Trump family ties to World Liberty Financial and Crypto.com partnerships. The move signals looser regulation ahead, though questions swirl about potential conflicts of interest. The full story behind this regulatory earthquake runs deeper than meets the eye.
In a sweeping move that has sent shockwaves through the crypto world, President Trump’s Department of Justice has dismantled the National Cryptocurrency Enforcement Team (NCET), marking a dramatic shift in U.S. digital asset regulation. The team, established by the Biden administration in 2021, was axed through a memo from Deputy Attorney General Todd Blanche, aligning with Trump’s recent executive order on cryptocurrency policy. The NCET had previously collaborated with FBI and other agencies on major investigations.
The DOJ’s new stance is crystal clear: no more playing crypto cop. Gone are the days of “regulation by prosecution.” Instead, they’ll focus on actual crimes – you know, the serious stuff like terrorism financing and investor fraud. It’s a pretty convenient shift, especially considering the Trump family’s deep ties to the crypto industry. The memo specifically states no enforcement actions will be taken against crypto exchanges or offline wallets for unwitting violations. The change comes as spot trading services continue to expand on U.S.-based platforms like Binance.US.
DOJ ditches crypto crackdowns for bigger fish, right when Trump’s crypto connections are raising eyebrows. Convenient timing, wouldn’t you say?
Speaking of connections, Trump’s got skin in the game. His family holds stakes in World Liberty Financial, and they’re claiming a sweet 75% of net revenues from certain token sales. Plus, there’s that cozy partnership between Trump Media and Crypto.com for crypto ETFs. Nothing to see here, folks – just your typical presidential portfolio.
The crypto industry isn’t exactly crying over this change. With prosecutors now instructed to back off from exchanges, mixers, and wallets unless there’s clear wrongdoing, crypto businesses are getting more breathing room. Trump’s made it clear – he wants America to be the “crypto capital of the world.” And those campaign donations from crypto companies? Pure coincidence, surely.
Critics are losing their minds, claiming this move undermines transparency and accountability. They might have a point. But the global crypto community is watching closely, and some countries might follow America’s lead in loosening their grip on crypto regulation.
The message is loud and clear: The DOJ’s stepping back, other agencies are rethinking their approach, and the crypto wild west just got a little wilder. Whether this makes America the crypto promised land or creates a regulatory vacuum remains to be seen. But one thing’s certain – the crypto landscape is changing faster than you can say “blockchain.”
