Multiple reports indicate that the National Cryptocurrency Enforcement Unit (NCET), part of the US Department of Justice, has been shut down.
Fortune first reported this, stating that a memo indicates that Deputy Attorney General Todd Blanche announced the decision to eliminate the entity, claiming the DOJ is not a digital asset regulator.
The NCET was created in February 2022 to address the growing challenges of illicit activity in the crypto sector. Eun Young Choi served as its first Director.
According to the DOJ, the team included prosecutors with backgrounds in crypto, money laundering, and cybercrime. The group works in conjunction with the Computer Crime and Intellectual Property Section and the Money Laundering and Asset Recover Section.
There was particular focus on crypto exchanges, mixers, and other entities that have been utilized to pursue criminal activity, including efforts to commit fraud.
The NCET also provided support to other federal, state, local and international enforcement agencies. The group sought to “aggressively investigate and prosecute serious crimes involving cryptocurrency and digital assets in the United States and around the world.”
The Trump Administration has taken a very different posture in regard to digital assets. While the Biden administration sought to crush the sector, the current White House aims to lead the world in crypto innovation. Still, abuse of digital assets continue with rogue states, and other nefarious characters using crypto to pursue criminal activity.