
Six U.S. senators have pressed the Department of Justice over its decision to disband its cryptocurrency enforcement team, citing a reported 162% surge in illicit crypto activity in 2025. The lawmakers asked the deputy attorney general to justify the move and to outline how the department plans to address crypto-related crime going forward.
Background on the DOJ’s crypto enforcement efforts
The Justice Department created a dedicated cryptocurrency enforcement unit to coordinate complex digital asset investigations across federal prosecutors and agencies. The team focused on cases involving crypto exchanges, darknet markets, mixers, ransomware operations, and large-scale fraud, aiming to centralize expertise and accelerate cross-border enforcement actions.
Senators cite rising illicit activity
In their inquiry to the deputy attorney general, the senators pointed to a 162% increase in illicit crypto activity in 2025 to argue that eliminating a specialized unit could weaken federal capabilities at a time of growing risk. They requested details on how the DOJ will sustain expertise and oversight of crypto-enabled crime without a dedicated team.
- Current staffing and resources assigned to cryptocurrency investigations
- How cases will be coordinated across divisions and with other federal agencies
- Plans to maintain technical capabilities for blockchain analysis and asset tracing
- Metrics the department will use to evaluate enforcement effectiveness
Why it matters
The lawmakers’ inquiry underscores a broader policy debate over whether specialized crypto units are necessary as digital assets become more embedded in financial crime, ransomware, and sanctions evasion. Centralized expertise can streamline complex, cross-jurisdictional cases, while integrating crypto work into broader cyber or financial crime sections may offer scale but risk diluting focus.
What to watch
The DOJ’s response will clarify whether it plans to restore a dedicated crypto team or continue pursuing digital asset cases through broader cybercrime and financial enforcement programs. The exchange adds pressure on federal agencies to demonstrate clear strategies, resources, and accountability for combating crypto-related crime in 2026.