A major shift is expected in how the US Attorney’s Office for the Southern District of New York (SDNY) handles cryptocurrency cases. This comes after Donald Trump announced his intention to appoint Jay Clayton, a crypto-friendly figure, as the new US Attorney.
Less Focus on Crypto Prosecutions
Scott Hartman, a top official at the SDNY, revealed that the office will be reducing its focus on crypto-related prosecutions. While they won’t completely ignore the sector, Hartman stated that fewer prosecutors will be dedicated to crypto cases. He explained that this is partly due to increased regulatory activity in the space, following a wave of high-profile cases brought during the recent crypto market downturn.
A Change in Presidential Stance
This change in approach mirrors a significant shift in Trump’s stance on cryptocurrencies. After previously expressing skepticism, he now champions the industry, promising to fire the current SEC chair and implement policies more favorable to crypto investors and businesses. He’s even suggested holding onto seized Bitcoin as an investment rather than selling it.
Impact of the Shift
The SDNY has been a key player in several major crypto cases, including the prosecution of Sam Bankman-Fried and FTX. The reduced focus on crypto prosecutions under a potentially new leadership could significantly alter the landscape of crypto enforcement in the US. It remains to be seen how this shift will affect future investigations and prosecutions in the crypto space.
