The United States Department of Justice (DOJ) is taking a strong stance against the criminal misuse of cryptocurrencies and digital assets. In a recent statement, the DOJ announced the appointment of Eun Young Choi as the first director of the National Cryptocurrency Enforcement Team (NCET). Choi, a former senior counsel to the deputy attorney general, will lead a team of department attorneys with expertise in cryptocurrency, cybercrime, money laundering, and forfeiture.
The NCET’s primary objective is to identify, investigate, support, and pursue cases involving the criminal use of digital assets. This includes targeting virtual currency exchanges, mixing and tumbling services, and other entities that enable the misuse of cryptocurrency for criminal activities. The team will also work to assist in the investigation and prosecution of serious crimes involving cryptocurrencies both domestically and internationally.
Choi expressed her enthusiasm for leading the NCET, emphasizing the importance of combating the illicit use of digital assets by criminals. She stated, “The NCET will play a pivotal role in ensuring that as the technology surrounding digital assets grows and evolves, the department accelerates and expands its efforts to combat their misuse.”
In addition to the establishment of the NCET, the DOJ announced the creation of a Virtual Asset Exploitation Unit within the FBI. This specialized unit, staffed with cryptocurrency experts, will provide analysis, support, and training to enhance the FBI’s capabilities in investigating cryptocurrency-related crimes. The unit will also focus on developing innovative tools to stay ahead of emerging threats in the cryptocurrency space.
The formation of the Virtual Asset Exploitation Unit comes in the wake of a significant financial seizure by the DOJ, where Bitcoin worth $3.6 billion was confiscated on suspicion of being stolen in the 2016 Bitfinex hack. A married couple from New York was arrested and charged with conspiracy to commit money laundering and defraud the United States in connection with the Bitfinex heist.
Overall, the DOJ’s crackdown on the criminal misuse of cryptocurrencies underscores the government’s commitment to ensuring the integrity of the digital asset ecosystem and holding criminals accountable for their actions.