Binance Observes IRS Crypto Leadership Shakeup Amid DOGE-Backed Resignations

The Internal Revenue Service (IRS) is experiencing a significant leadership void in its digital asset division following the departure of two key figures, Seth Wilks and Raj Mukherjee. Both executives, who were recruited from prominent cryptocurrency firms, accepted deferred resignation packages tied to a Department of Government Efficiency initiative funded through Dogecoin (DOGE) transactions. This unusual exit marks a notable setback for the IRS Digital Asset division, raising questions about the future of crypto regulation and government adoption of digital currencies. The timing of these departures, coinciding with the growing influence of Binance and other major exchanges, adds another layer of complexity to the evolving crypto landscape.

IRS Crypto Initiative Leaders Exit After Accepting DOGE-Backed Resignation Offers

The Internal Revenue Service faces a leadership vacuum in its digital asset division as two key figures depart under unusual circumstances. Seth Wilks and Raj Mukherjee, both recruited from prominent crypto firms, accepted deferred resignation packages tied to a Department of Government Efficiency initiative funded through Dogecoin transactions.

Their exits mark a significant setback for the IRS Digital Asset Initiative launched just months ago in February 2024. Wilks, formerly TaxBit’s vice president, and Mukherjee, ex-head of tax at ConsenSys and Binance.US, were instrumental in bridging the gap between regulators and the cryptocurrency industry.

The Trump administration’s controversial DOGE-funded resignation program has claimed multiple federal employees across agencies this year. Both directors remain technically employed through the transition period, drawing salaries while on administrative leave—a arrangement that’s drawing scrutiny from congressional oversight committees.

Crypto Venture Funding Surges to $4.9B in Q1 2025 as US Firms Dominate

Crypto venture capital investments rebounded sharply in the first quarter of 2025, with $4.9 billion raised across 446 deals. The figure marks a 40% quarter-over-quarter increase and represents the strongest fundraising period since late 2022, according to Galaxy Digital’s May 1 report.

A single $2 billion investment in Binance by MGX accounted for over 40% of the total. Excluding this outlier, Q1 funding would have shown a 20% decline to $2.8 billion compared to Q4 2024. The Binance deal propelled Trading, Exchange, and Lending categories to dominate capital allocation.

US-based firms led the investment charge, continuing their trend of crypto market leadership. Deal volume grew 7% sequentially, suggesting renewed institutional confidence despite recent market volatility.