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Ahmed Balaha
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Todd Blanche is now the longtime director of Department of Justiceand the crypto industry is listening for reasons that are not related to its history.
President Trump announced Thursday that Blanche, a former deputy attorney general, will replace Pam Bondi as Attorney General. The real deal: the man who wrote the DOJ’s crypto enforcement memo now controls the agency that does it.
Blanche signed a four-page directive in April 2025 that disbanded the DOJ’s National Cryptocurrency Enforcement Unit and told prosecutors to stop prosecuting crypto-industry violations. The document has already changed one established case. Its author is now running the department.
Essentials:
- Who is He: Todd Blanche, Trump’s former attorney, was confirmed as deputy attorney general in March 2025 and is now the interim AG following the dismissal of Pam Bondi.
- What Memo Did: Blanche’s April 2025 DOJ memo abolished the Global Cryptocurrency Enforcement Task Force and prevented prosecutors from pursuing criminal charges against crypto companies.
- Ethics Exposure: ProPublica’s investigation found that Blanche had between $159,000 and $485,000 in cryptocurrencies — including BTC, ETH, SOL, and ADA — when she signed the affidavit, potentially breaking her promise.
- Sticking: The memo’s reach was previously tested in the Southern District of New York case against Tornado Cash creator Roman Storm, where one case was dismissed when prosecutors cited it.
- DeFi Regulation Impact: With Blanche now on top, the stance on DeFi protocols, mixed services, and decentralized wallets is unlikely to get any stronger anytime soon.
- Must Watch: Whether Mr. Blanche will seek a permanent appointment and how his term will fit into the ongoing legislative debates — including FIT21 and the GENIUS Act — will determine how long this re-establishment lasts.
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What the DOJ Crypto Enforcement Memo Really Does – and Why Todd Blanche Authorship Changes Calculus
Blanche’s memo signed last April did two things at once: it removed the DOJ’s independent crypto division and reduced prosecutors’ responsibility for fraud and known crimes, moving away from the Biden era that saw disobedience as a crime.
The National Cryptocurrency Enforcement Team, which was established in 2022, was the foundation of the broader strategy.
The impact of the document’s decline was immediate. In the SDNY’s case against Tornado Cash developer Roman Storm, prosecutors cited a DOJ memo before releasing a single charge against Storm – the direct use of new intelligence to prosecute a stable DeFi case.
Storm was later found guilty in a separate case and faces two additional trials, but the memo’s force at the discretion of the jury was already written.
Blanche’s promotion to interim Attorney General does not change the text of the memo. It removes any uncertainty that may arise from a change in leadership. The man who wrote the plan is now setting DOJ requirements at a higher level.
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Blanche as Interim AG – What’s Changing DeFi, Mixing Services, and Offshore Platforms
What is needed in the immediate pressure is to continue, not to escalate. The DOJ under Blanche is unlikely to reopen the criminal case that the memo closed. This is very important DeFi protocols that are operating in an unregulated manner and integrating services that were part of the existing infrastructure.
What has not been established much is the fact that Blanche is involved. ProPublica reported that Blanche had between $159,000 and $485,000 in cryptocurrencies at the time she signed the deed – a violation of her divestiture agreement.
His most recent public disclosure reveals that he transferred assets in Bitcoin, Solana, ADA, Ethereum, Polygon, DOT, and Quant to his children and grandson. That time is now a responsibility, not a footnote.
In exchange for a special compliance – a type of license that looks like Platforms push to US controlled markets – The appointment of Mr. Blanche shows that the government will remain restrictive even if the government officials are working independently. The difference between federal pullback and federal enforcement is the pressure that defines this moment.
CBS News reported on expectations for a temporary stay, citing the Senate’s confirmation difficulties for a permanent AG. Trump praised Blanche on Social Truth as “talented and respected in law”; Blanche replied on X: “Thank you for the trust and the opportunity to serve.”
I am FIT21 is the largest regulation in the crypto market not resolved in the Senate, the stability of Blanche’s establishment depends largely on whether Congress implements the limits it just drew – and whether its character display becomes a barrier before that.
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