According to a recent report by the New York Times, the U.S. Securities and Exchange Commission is on track to substantially cut down its cryptocurrency enforcement efforts. 

The approximately 50-strong unit, which is dedicated to bringing lawsuits against crypto industry players, is being reduced. 

There has already been a significant shakeup within the unit, with one of the leading lawyers dealing with crypto cases being pushed out of the enforcement division. 

The changes were widely expected following the departure of Chair Gary Gensler. 

Acting Chair Mark Uyeda and Commissioner Hester Peirce have long been critical of the SEC's crypto enforcement efforts. 

Peirce is now the head of a new crypto task force that aims to develop comprehensive rules for the industry. 

The task force now has its own webpage on the SEC website. Its initial list of priorities will include examining different types of digital assets to define the security/commodity status, identifying areas outside of the SEC's purview, working on a potential safe harbor for tokens, establishing an appropriate custody regime, and so on.  

Stuart Alderoty, Ripple's top lawyer, has heaped praise on Peirce, claiming that she remained "a steady voice for regulatory sanity" during the previous administration's crusade against crypto. "Today's memo is another rapid step toward turning the page on the mess we all inherited," he added. 

Alderoty said that he was looking forward to finally having coffee with Peirce in 2025. 

As reported by U.Today, the new SEC administration was preparing to freeze and potentially drop some non-fraud crypto cases.