- Acting Attorney General Todd Blanche faced Senate Judiciary Committee backlash over dismantling the DOJ’s crypto enforcement unit
- Senator Dick Durbin accused Blanche of enabling Trump to earn $1.4 billion from industry ties, including World Liberty Financial
- Blanche signaled prosecutors would no longer target blockchain developers not knowingly facilitating criminal activity
- Republican Senator Thom Tillis raised concerns about the Binance CEO pardon during the hearing
Acting US Attorney General Todd Blanche faced sharp criticism Wednesday during his Senate Judiciary Committee confirmation hearing over the Justice Department’s crypto enforcement policies. Senator Dick Durbin used his opening statement to accuse Blanche of “dismantling DoJ’s enforcement team and shutting down ongoing criminal investigations of the crypto industry,” according to video of the proceedings.
Durbin claimed Blanche’s order dismantling the DOJ’s crypto unit enabled Trump to earn $1.4 billion from industry ties, including the family business World Liberty Financial. He also alleged former Binance CEO Changpeng “CZ” Zhao “broker[ed] a deal to channel $2 billion” into World Liberty, leading to a presidential pardon. “Every smarmy, suspect deal in this administration has cryptocurrency behind the curtain,” Durbin said.
Blanche was reportedly behind the disbanding of the Justice Department’s crypto enforcement unit in April 2025 while serving as deputy attorney general. Republican Senator Thom Tillis said he was “concerned that the Binance CEO got pardoned,” to which Blanche responded that he would review the pardon process if confirmed.
Blanche previously issued a 2025 memo “ending regulation by prosecution” in the crypto industry. He told attendees at the Bitcoin 2026 conference that officials would not pursue cases against blockchain developers who were not responsible for illicit activity on platforms.
“[I]f you are developing software, if you are a coder, if you are part of that process and you are not the third-party user, and you are not helping and knowing the third party is using what you developed to commit crimes, you are not going to be investigated and not going to be charged,” Blanche said. The department still has ongoing cases against developers behind platforms allegedly used for illegal activities, including the upcoming retrial of Tornado Cash co-founder Roman Storm.
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