PANews reported on February 5 that according to the New York Times, five people familiar with the matter revealed that the U.S. Securities and Exchange Commission is reducing a special team of more than 50 lawyers and staff that was once responsible for cryptocurrency law enforcement actions. This move is one of the first concrete measures taken by President Trump and his administration to reduce regulation of cryptocurrencies and other digital assets. One of Trump's first executive orders aims to promote the development of cryptocurrencies and "eliminate excessive regulation of digital assets."

Some lawyers on the cryptocurrency group are being assigned to other parts of the Securities and Exchange Commission, according to people familiar with the matter. A senior lawyer on the group was transferred out of the enforcement division. Some people familiar with the change called the transfer an unfair demotion.

Current SEC Acting Chairman Mark T. Uyeda made a series of appointments while reshuffling other top positions at the SEC. The commission hired more than 1,000 lawyers. One of the first things Uyeda did after taking office was to form a group to review the SEC's approach to digital assets. The working group is led by SEC Commissioner and outspoken cryptocurrency supporter Hester Peirce.