Todd Blanche faces Senate confirmation hearing for Attorney General in mid-July
In brief
- Todd Blanche scheduled for Senate Judiciary Committee confirmation hearing mid-July following Trump's June 2026 Attorney General nomination
- Acting AG issued 'Ending Regulation by Prosecution' memo disbanding the National Cryptocurrency Enforcement Team in April
- DOJ crypto enforcement shifted from platform prosecution to targeting individual criminals engaged in fraud and cyber crimes
Restructuring DOJ Crypto Enforcement
On April 7, 2025, Blanche issued a memo titled "Ending Regulation by Prosecution" that reoriented the DOJ's approach to digital assets. The directive fundamentally shifted focus away from prosecuting cryptocurrency platforms and toward targeting individual criminals engaged in fraud and cyber crimes.
The most significant structural change was Blanche's decision to disband the National Cryptocurrency Enforcement Team, the DOJ unit that had been the federal government's primary vehicle for prosecuting crypto businesses suspected of facilitating illicit activity. Dismantling the unit represents a structural change, not a temporary pause. Rebuilding enforcement capacity against platforms would require constructing a new team from scratch.
Confirmation and Asset Divestment
Financial disclosures show Blanche held crypto-related assets valued between $159,000 and $485,000. He committed to divesting those crypto assets within 90 days of his earlier confirmation as Deputy Attorney General, which occurred in early 2025.
Blanche first entered the DOJ as Deputy Attorney General in early 2025, and his tenure there was anything but quiet. His confirmation as Attorney General will test whether the Senate backs his enforcement reorientation or seeks to restore the DOJ's role in platform-level crypto oversight.
Regulatory Vacuum and SEC-CFTC Authority
With the DOJ stepping back from platform-level enforcement, the SEC and CFTC become even more important as the primary regulators of digital asset markets. The shift concentrates crypto policy oversight in agencies with narrower mandates and different enforcement philosophies than the DOJ's criminal division.
Blanche's confirmation hearing will likely surface questions about whether the DOJ's retreat from crypto enforcement is permanent policy or a temporary shift. The outcome carries weight for how digital asset businesses navigate federal oversight going forward.
