DOJ Reduces Crypto Enforcement, Disbands NCET Team
The U.S. Department of justice is easing its grip on the cryptocurrency industry. It’s shutting down the National Cryptocurrency Enforcement Team (NCET), which was launched in 2022. NCET played a crucial role in major crypto cases, like the $4.3 billion settlement with binance.
In an internal memo, Deputy attorney General Todd Blanche announced the team’s disbandment. The DOJ will now focus on crypto crimes linked to terrorism, narcotics, human trafficking, organized crime, and hacking. Cases against crypto exchanges, wallet providers, and services like tornado Cash will be closed if they don’t meet new criteria.
Developers won’t be prosecuted for code misused by others.Blanche criticized the previous “regulation by prosecution” approach as reckless. He cited a recent Trump executive order supporting open blockchain access.
Blanche, a former Trump defense attorney, also instructed prosecutors not to pursue securities, banking, or commodities law violations without clear evidence of willful misconduct.
Not everyone is pleased.Critics fear this could lead to more fraud and scams. They worry a less proactive approach might let malicious actors operate freely.
