The U.S. Justice Department is disbanding its National Cryptocurrency Enforcement Team and ordering prosecutors to narrow crypto investigations to focus on drug cartels and terrorist groups, according to a memo seen by Reuters.

The Justice Department has shut down its unit that investigates cryptocurrency fraud “effective immediately,” even as the Trump administration ramps up its embrace of the emerging digital currency market,

The department won’t pursue cases it feels are better left to financial regulators, focusing instead on crimes committed with cryptocurrency.

The Justice Department is disbanding a team of prosecutors who targeted cryptocurrency crimes and is shifting its focus away from complex crypto-related cases involving banking and securities law.

Trump’s Justice Department is going to pull back on prosecuting cryptocurrency fraud, according to a memo from Deputy Attorney General Todd Blanche. The memo, sent to the Justice Department Monday, states that the DOJ won’t be pursuing cases that Blanche said are better suited for financial regulators,

The U.S. Justice Department recently notified employees that the regulator was scrapping a unit focused on crypto enforcement, aligning with the Trump administration's push for deregulation, according to a Tuesday media report that cited a memo.

In a memo to justice department employees, deputy US attorney-general Todd Blanche said the DoJ would no longer target crypto exchanges, mixing and tumbling services as well as wallets “for the acts of their end users or unwitting violations of regulations”,

EXCLUSIVE: President Trump wants to make the United States the “crypto capital of the world," and a top White House cryptocurrency policy official told Fox News Digital the administration is well on its way to ushering in “the golden age for digital assets.

Deputy Attorney General Todd Blanche said the department will largely stop bringing cases that violate the Bank Secrecy Act or contain unregistered broker dealer violations.