April 21, 2025
Blockwind Editor-in-Chief Tsering Namgyal spoke to Lisa Loud on President Trump’s decision to disband the U.S. Department of Justice’s National Cryptocurrency Enforcement Team.
Q: Do you think the disbanding of the U.S. Department of Justice’s National Cryptocurrency Enforcement Team is a good idea or not?
Lisa Loud: The disbanding of the DOJ’s NCET is a double-edged sword. On one hand, effective enforcement is vital for preventing fraud and protecting everyday users in the crypto space. On the other hand, overly broad enforcement, without clear regulatory frameworks, can stifle innovation. If the dissolution of NCET leads to a more coordinated and balanced regulatory approach, it could be a positive step for Web3. However, at the same time, I think the act must not leave a vacuum that allows bad actors to operate unchecked.
Q: What kind of message does it send to the crypto community in particular and the world at large?
Lisa Loud: To me, it sends a mixed message. It might seem like a pause in the aggressive push to enforce ill-defined rules, which could be seen as an opportunity for constructive dialogue between innovators and regulators. But it also raises concerns about the U.S. backing off from leadership in digital asset oversight. What’s essential now is to communicate that this is not a retreat from responsibility, but hopefully a pivot toward smarter, more effective governance.
Q: Does it signal a shift from the SEC’s past enforcement tactics, which were much criticized by the crypto community for creating ambiguity and uncertainty when it came to regulations?
Lisa Loud: There’s certainly a sense that the tides are turning. The crypto industry has long advocated for clarity and fair guidance over regulation by enforcement. If this move by the DOJ is part of a broader trend towards creating defined legal frameworks instead of punitive reactions, then yes it could signal a meaningful shift. The SEC, as an example, has faced criticism for its unpredictable approach, and this could be the beginning of a new chapter in regulatory transparency.
Q: What do you think about the rollback of aggressive enforcement tactics under the guise of freedom?
Lisa Loud: Freedom in technology should never come at the expense of security or consumer protection. That said, regulatory overreach under the banner of enforcement has often stifled innovation without necessarily improving outcomes. A rollback of aggressive tactics, if done thoughtfully and with the intent to create room for compliant innovation, fosters a culture of responsibility. We need to ensure that any rollback doesn’t mean a lapse in accountability.
Q: How do you think the new regulatory environment under the Trump administration should evolve?
Lisa Loud: The new administration has an opportunity to redefine America’s approach to digital assets and blockchain innovation. This should include investing in clearer, tech-savvy regulation that distinguishes between different types of crypto assets. Rather than regulating through fear, the government should partner with industry leaders to create frameworks that uphold transparency and trust while unleashing economic potential.
Q: How should the new government strike a balance between innovation and compliance?
Lisa Loud: Dialogue is key. The government needs to establish open communication channels with projects, technologists, and legal experts to co-create practical rules that make sense for this technology. Sandboxes and tiered regulatory models could allow innovation to flourish while keeping compliance in check. We need to recognize that blockchain is not a monolith, different use cases require different approaches. Balance can only be achieved through nuance and collaboration.
Q: What is Secret Network’s role in empowering entrepreneurs in the blockchain and cryptocurrency space?
Lisa Loud: Secret Network is here to redefine what’s possible with blockchain technology by bringing privacy to AI agents. This enables entrepreneurs to build decentralized AI applications that are not only secure and scalable but also preserve data confidentiality—something that’s essential for real-world use cases in sectors like finance or healthcare. By providing a unique layer of privacy tooling, we empower AI builders to innovate freely while protecting the prompts and data of users. We believe privacy is not the enemy of compliance, it’s a cornerstone of user protection and long-term adoption.
