US Department of Justice Scrutinizes Cryptocurrency Compensation Policies Following Valuation Uncertainties

The US Department of Justice (DOJ) has initiated a comprehensive review of cryptocurrency compensation frameworks, citing growing concerns over inconsistent valuation methodologies and potential regulatory gaps. This move comes as digital asset markets face heightened volatility, prompting authorities to reassess how crypto-based remuneration is structured and reported. Legal experts suggest the review may lead to stricter disclosure requirements for companies offering crypto salaries, bonuses, or equity, particularly focusing on valuation timing and methodology. The examination aligns with broader efforts by US regulators to establish clearer guidelines for crypto asset classification and accounting practices in employee compensation packages.

DOJ’s broader crypto shift

This initiative forms part of a broader strategic shift within the DOJ’s approach to digital assets.

Last week, CryptoSlate reported that the department disbanded its National Cryptocurrency Enforcement Team (NCET), a unit focused initially on probing crypto-related crimes.

The DOJ said it wants personnel to concentrate on clear criminal activities such as scams and market manipulation, rather than investigating lawful entities like crypto exchanges, wallet providers, or decentralized tools.

In addition, the DOJ is actively participating in President Donald Trump’s Working Group on Digital Asset Markets. The group was formed under Executive Order 14178 to assess the regulatory landscape of the crypto industry.

The DOJ will provide attorneys to assist in drafting proposals and recommendations for legislation and agency guidance. These recommendations will be compiled in a formal report to the president, aiming to modernize digital asset regulations to align with national policy objectives.

Once the president approves the proposals, the DOJ has committed to implementing the recommended actions to ensure better investor protection and more clarity for digital asset companies operating within the US.