US DOJ Recasts Crypto as Fraud Infrastructure in New Review

Core Insights - The US Department of Justice (DOJ) is shifting its approach to crypto enforcement, viewing digital assets as integral to large-scale fraud operations rather than isolated scams [1][2] Group 1: DOJ's New Approach - The DOJ's 2025 Year in Review indicates a significant increase in crypto-related fraud cases, with 265 defendants charged and an aggregate intended loss exceeding $16 billion, more than double the previous year [2] - The Fraud Section of the DOJ operates specialized units, including the Health Care Fraud Unit, which manages the seizure of crypto alongside other assets [3] Group 2: High-Profile Cases - A notable case involved a $1 billion Medicare fraud scheme targeting elderly patients, resulting in over $600 million in improper Medicare payments, with authorities seizing more than $7.2 million in assets, including crypto [4] - Travis Ford, former CEO of Wolf Capital, was sentenced to five years in prison for a $9.4 million crypto investment scam that promised 547% annual returns to approximately 2,800 investors, reflecting the DOJ's strategy of treating crypto as traditional illicit assets [5]