According to Jake Chervinsky, the Department of Justice (DOJ) has officially directed an end to the practice of regulating the cryptocurrency sector through criminal enforcement actions. However, the Southern District of New York (SDNY) has dropped only one of several disputed charges against Roman Storm, despite the DOJ’s new guidance (source: Jake Chervinsky on Twitter, May 15, 2025). This limited response from SDNY is seen as a significant divergence from federal direction, raising concerns among traders about continued legal risks and regulatory uncertainty for crypto projects. For market participants, this development may extend the period of legal ambiguity, potentially affecting risk appetite, project valuations, and the pace of innovation in the crypto sector.

According to ZachXBT, Sam Curry, a prominent whitehat hacker and former Yuga Labs security engineer, was detained by law enforcement at an airport in September 2023 and briefly served with a grand jury subpoena, which was later dropped. The incident was related to his legitimate security work with Yuga Labs, a key player in the NFT and crypto sectors. This event highlights the legal risks faced by security professionals in the crypto industry and underscores the need for clear regulatory guidelines, which is significant for traders as it can affect market sentiment and the perceived safety of NFT projects. Source: ZachXBT on Twitter (May 9, 2025).