- US bill empowers cyber experts to tackle crypto crime.
- Privateers to combat cross-border crypto theft.
- Potential changes in crypto asset management.
The US Congress is evaluating the Scam Farms Marque and Reprisal Authorization Act of 2025, enabling the President to deploy private cyber experts against cybercrime, including crypto-related offenses.
The legislative proposal could redefine cyber asset recovery, impacting crypto markets and enforcement strategies, with both opportunities and challenges for digital asset security and legal frameworks.
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US Bill Initiatives
The US Congress is considering the Scam Farms Marque and Reprisal Authorization Act of 2025. This bill would allow the President to issue letters of marque authorizing private cyber experts, known as “21st-century privateers,” to address cybercrime threats. Rep. David Schweikert from Arizona sponsors the bill. There is a significant change proposed, empowering private actors to seize assets and mitigate threats such as crypto theft and ransomware, using state-issued commissions. As Schweikert explained, “Americans deserve protection from digital predators who exploit outdated laws and hide in foreign jurisdictions.” – source
Impact on Cybersecurity and Financial Implications
The bill aims to impact the cybersecurity landscape significantly, especially concerning crypto assets. It allows private experts to engage proactively with digital predators, who often operate from foreign jurisdictions, posing challenges to traditional law enforcement. Financial implications for the government could be profound. The bill does not clarify bounty distribution for seized assets, raising questions on incentivization. Recent operations saw over $250M in cryptocurrencies seized, demonstrating potential asset recovery successes.
Historical Context and Perspective
Past legal precedents of letters of marque tie back to the War of 1812, repurposed now for cyber threats. This legal adaptation may lead to shifts in how crypto-related enforcement and compliance are perceived and executed. Experts suggest that this approach could encourage technological innovation and private sector involvement in cybersecurity. As Chris Giancarlo noted, “I earnestly believe that neo-privateering is the only way to restore security in a way that attracts entrepreneurs back onshore and simultaneously helps to fund the strategic crypto arsenal and bitcoin reserve at no cost to the taxpayer. Thrilled to see a Bill that is finally tackling this issue. It’s time to fight back.” – source
