Trump Policy Has Crypto Privacy Developers in a 'Very Bad State', Says Coin Center
The White House has promoted crypto industry growth through permissive regulations and pro-developer rhetoric. However, crypto leaders remain concerned about legal protections for software developers who create privacy tools. Despite promises not to prosecute, Trump administration prosecutors have imprisoned several Bitcoin and Ethereum developers for creating such software, alleging money laundering. A recent Texas court ruling dismissed a lawsuit from developer Michael Lewellen, who feared prosecution; the judge cited DOJ statements claiming non-prosecution and distinguished Lewellen’s intent from prosecuted cases involving money laundering. Crypto advocates argue this creates legal uncertainty, as the DOJ can still selectively target developers, while public statements of support offer no binding protection. The issue began under the Biden administration, but regulatory inconsistency persists even as the current White House takes a more crypto-friendly stance. Industry policy leaders warn that this deprioritization of enforcement may paradoxically make it harder for developers to obtain legal clarity, leaving them vulnerable and uncertain about their legal risks when creating privacy software.
