Trump’s DOJ will no longer prosecute cryptocurrency fraud
1 min read
Summary
The US Department of Justice will no longer prosecute crypto fraud cases, and has been ordered to close ongoing cases that are “inconsistent” with this policy, according to a memo obtained by the Washington Post.
The decision comes after Donald Trump, who once called Bitcoin a “scam,” became crypto’s political champion and made moves to appeal to crypto investors.
The Securities and Exchange Commission (SEC) is also dropping several investigations of crypto platforms and companies such as Robinhood and Coinbase, which are alleged to have broken securities rules.
Instead of targeting companies, the DOJ will now focus on prosecuting individuals who commit fraud, as well as criminal offences such as terrorism and organised crime.
The policy reverses the DOJ’s approach to cryptocurrency oversight and is being seen as a win for the crypto industry, despite concerns that it will lead to a surge in criminal activity.