Two weeks ago, I reported in my @CryptoAmerica_ newsletter that a coalition of 30 crypto companies, led by @fund_defi, sent a letter to lawmakers urging them to address the DOJ’s prior ‘regulation by criminal indictment’ approach to digital assets by holding software developers criminally liable for third party actions on their platforms.
Today, the DOJ clarified that it will no longer go after DeFi exchanges, wallet providers and software developers for being unlicensed money transmitters or for illegal actions by third parties, instead, choosing to focus on the bad actors themselves.
A notable quote from the DOJ memo: “The Justice Department will no longer pursue litigation or enforcement actions that have the effect of superimposing regulatory frameworks on digital assets while President Trump's actual regulators do this work outside the punitive criminal justice framework.”
In short, no more ‘regulation by prosecution.’
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Today, Ripple announced it is acquiring Hidden Road for $1.25B– becoming the first crypto company to own and operate a global, multi-asset prime broker. Together, Ripple and Hidden Road are bringing the promise of digital assets to institutional customers at scale, bridging traditional finance and decentralized finance in ways never seen before.
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