Introduction
In response to the staggering $11 billion in crypto-related losses reported by Americans over the past year, U.S. lawmakers have unveiled new legislation designed to combat cryptocurrency-related crimes such as theft, fraud, and hacking. The proposed Federal Cryptocurrency Theft Enforcement and Coordination Act would establish a dedicated task force to streamline the reporting and enforcement of such offenses through collaboration among various federal agencies, spearheaded by the attorney general.
Bipartisan Support and Task Force Composition
Bipartisan support for this initiative is evident, with Representatives Lance Gooden and Josh Gottheimer championing the bill in Congress. The task force would include representatives from the Department of Justice (DOJ), FBI, Department of Homeland Security, and the Treasury, aiming to create a comprehensive framework for addressing these escalating issues.
Rising Cryptocurrency Complaints
The urgency for this legislation comes on the heels of a dramatic rise in cryptocurrency complaints. According to the FBI’s Internet Crime Report for 2025, a staggering 181,565 complaints were filed, leading to recorded losses exceeding $11.3 billion. Investment fraud emerged as the most significant category of loss, with scams accounting for approximately $7.2 billion of the total.
Impact on Older Americans
Particularly alarming is the impact on older Americans, who reported the most substantial losses among all demographics. Individuals over 60 submitted 44,555 complaints, suffering around $4.43 billion in total losses tied to crypto schemes. Meanwhile, TRM Labs, a blockchain analytics company, highlighted a disturbing trend in rising criminal activity involving digital assets, noting that wallets linked to illegal activities received nearly $158 billion in cryptocurrency in 2025, up from $64.5 billion the previous year.
Need for a Unified Strategy
Gooden emphasized the necessity of a unified strategy to tackle cryptocurrency crime, arguing that the current fragmented enforcement leaves victims in a lurch without clear avenues for support.
The proposed legislation seeks to create a coordinated response among investigating agencies and develop standardized procedures for local law enforcement to manage cases related to cryptocurrency theft and fraud efficiently.
Enhancing Victim Assistance
Additionally, the bill aims to enhance victim assistance by establishing a more transparent and centralized reporting process for those affected by crypto-related crimes. This push for an organized federal effort comes shortly after the discontinuation of the National Cryptocurrency Enforcement Team by the DOJ, which previously focused on enforcement against industry players rather than addressing criminal acts and supporting victims.
Successful Federal Initiatives
In contrast, other federal initiatives, such as the FBI’s Operation Level Up, have demonstrated success in identifying scam victims before losses increase significantly, reportedly saving over $225.8 million in 2025 alone. Similarly, the Treasury Department’s Scam Center Strike Force has been actively engaged in targeting international fraud networks, having seized more than $700 million associated with scams.
Industry Support and Next Steps
Industry stakeholders have shown considerable support for the legislators’ proposal. The Digital Chamber has called for enhanced training and tools for law enforcement, while Satoshi Action Fund CEO Dennis Porter stressed that this bill would facilitate a coordinated federal response that directly benefits both victims and investigators alike. The legislation is set to navigate through congressional committees before it can be enacted into law and may be included in a broader legislative framework in this session.
