US Justice Dept Disbands Bitcoin And Crypto Enforcement Unit

Bitcoin Magazine

US Justice Dept Disbands Bitcoin And Crypto Enforcement Unit

In a major shift in federal oversight of bitcoin and crypto, the U.S. Department of Justice (DOJ) has officially disbanded its National Cryptocurrency Enforcement Team (NCET), a specialized unit created under the Biden administration to investigate and prosecute criminal activity involving bitcoin and crypto.

The move follows a directive from Deputy Attorney General Todd Blanche, a Trump appointee confirmed earlier this year and marks a broader rollback of federal regulatory scrutiny over the bitcoin and crypto sector. The DOJ issued an internal memo on Monday notifying staff that the unit would be dissolved effective immediately, redirecting remaining cases to existing divisions within the department.

JUST IN: Department of Justice scraps crypto unit dedicated to crypto-related investigations

The Trump effect pic.twitter.com/F2AnB23MG8

Originally launched in 2021, the NCET was designed to focus on complex investigations involving ransomware, bitcoin and crypto exchanges and other related activities. At its peak, the unit coordinated closely with the FBI, SEC, and international partners, bringing charges against bitcoin and crypto firms and individuals in high-profile cases.

Trump administration made this decision as part of a broader effort to reduce the overreach in bitcoin and crypto regulation. Todd Blanche described the NCET as “a reckless strategy” from the previous administration that prioritized headlines over effective policy.

The decision aligns with President Trump’s campaign promise to ease federal pressure on the bitcoin and crypto industry. In recent months, the administration has taken steps to soften the SEC’s enforcement posture, and Trump himself has made several public statements defending crypto and calling for freedom to innovate.

While many in the crypto industry welcomed the move as a sign of friendlier regulatory conditions, others remain cautious.

As of now, the DOJ has not announced any replacement initiative or dedicated crypto crime task force. Ongoing investigations are expected to be absorbed by other units within the Criminal Division. The disbandment of NCET represents one of the most significant federal crypto policy changes under Trump’s second term.

This post US Justice Dept Disbands Bitcoin And Crypto Enforcement Unit first appeared on Bitcoin Magazine and is written by Vivek Sen Bitcoin.