From PYMTS:The U.S. Department of Justice (DOJ) is shutting down its National Cryptocurrency Enforcement Team (NCET) and refocusing its approach to digital asset investigations, according to a memo obtained by Reuters.
The memo, issued late Monday by Deputy Attorney General Todd Blanche, directs federal prosecutors to narrow their cryptocurrency enforcement priorities, emphasizing cases linked to terrorism, drug trafficking, and organized crime. Per Reuters, the directive marks a significant departure from the previous administration’s approach, which aggressively pursued regulatory and criminal actions against players in the crypto space.
Established in February 2022, NCET played a central role in high-profile investigations, including the case against Binance and its founder Changpeng Zhao, who pleaded guilty to violating anti-money laundering laws. According to Reuters, the unit had been a cornerstone of President Joe Biden’s broader strategy to crack down on fraud and illicit finance in the rapidly evolving digital asset market.
However, under President Donald Trump, whose family has entered the crypto industry, the DOJ is now charting a different course. Blanche’s memo criticizes what he called the Biden administration’s “reckless strategy of regulation by prosecution,” and instructs DOJ staff to cease investigations that fall outside the new, narrowed focus.
