The US Department of Justice is changing its approach to cryptocurrency enforcement under the Trump administration. Federal prosecutors will no longer target crypto platforms, wallets, or mixers for the actions of their users , unless there’s clear evidence of intentional wrongdoing. This policy shift comes after President Trump revoked earlier regulations aimed at controlling crypto risks, aiming instead to boost US leadership in digital finance. Deputy Attorney General Todd Blanche outlined the new strategy in a memo, announcing the end of the National Cryptocurrency Enforcement Team and criticizing the previous administration's legal approach as “reckless.” Prosecutors have been told to avoid bringing cases related to crypto regulation unless there's proof the defendant knowingly broke the law. This change could affect ongoing cases like the one against Tornado Cash’s founders, who were accused of helping launder over $1 billion, including funds linked to North Korea’s Lazarus Group. Defense lawyers argue the new policy supports dropping those charges. The DoJ will now focus on crypto cases involving fraud, scams, or direct harm to investors , stepping back from broader efforts to regulate the industry through prosecution.
