The team driving enforcement actions against crypto bad actors has largely been reassigned or demoted under the Trump administration.

SEC's crypto enforcement downsizing under Trump aims to reduce regulatory oversight, reassessing digital asset policies and market impact.

During that time, Trump has nominated Paul Atkins, a lawyer with strong crypto industry ties, to succeed Gensler as SEC chair. At the time of this writing, awaiting Senate Banking Committee confirmation is Atkins, an advocate of a less stringent regulatory regimen.

The SEC is scaling back its crypto enforcement unit, according to the New York Times, who cited people familiar with the matter.