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DOJ Narrows Crypto Cases, Declares Writing Code Without Ill Intent Is Not a Crime

The guidance pulls back on new money‑transmitter charges for truly decentralized, non‑custodial software, leaving recent convictions and appeals unresolved.

United States Department of Justice logo and U.S. flag are seen in this illustration taken April 23, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
DoJ's latest stance on DeFi developers sparks division on Roman Storm case
Photo: Al Drago
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Overview

  • Acting AAG Matthew Galeotti told a Wyoming audience that prosecutors will not target developers solely for publishing open‑source code without specific criminal intent.
  • New 18 U.S.C. 1960(b)(1)(C) charges will not be approved where software is truly decentralized, automates peer‑to‑peer transactions, and involves no third‑party custody or control.
  • The Criminal Division said it will continue to pursue fraud, money laundering, sanctions evasion, and cases where evidence shows a developer intended to facilitate crimes.
  • Galeotti’s remarks build on April guidance from Deputy AG Todd Blanche and follow the disbanding of the DOJ’s crypto enforcement team after years of aggressive district‑level cases.
  • Industry figures praised the shift as a win for developers, while legal advocates questioned its practical reach and whether it will affect Roman Storm’s recent conviction on appeal.