Federal Cryptocurrency Theft Enforcement and Coordination Act

(1) Cryptocurrency theft and related digital asset crimes have increased in frequency, scale, and sophistication, resulting in significant financial harm to individuals, businesses, and communities across the United States.

(2) Cryptocurrency theft has created a criminal justice and law enforcement challenge involving fraud, hacking, theft, conspiracy, and other violations of Federal criminal law.

(3) Victims of cryptocurrency theft frequently encounter fragmented and inconsistent responses from Federal, State, and local authorities due to the absence of a centralized Federal coordination mechanism.

(4) State and local law enforcement agencies often lack clear guidance, training, and Federal points of contact for responding to cryptocurrency theft incidents.

There is established within the Department of Justice a task force to be known as the Federal Cryptocurrency Theft Task Force (in this Act, referred to as Task Force).

The Task Force shall be chaired by the Attorney General, or the Attorney General’s designee.

The Task Force shall include senior representatives from—

(1) the Department of Justice;

(2) the Federal Bureau of Investigation;

(3) the Department of Homeland Security, including Homeland Security Investigations;

(4) the Department of the Treasury, including the Financial Crimes Enforcement Network; and

(5) any other Federal law enforcement agency the Attorney General determines appropriate.

The Task Force shall operate consistent with the Attorney General’s authorities under title 18, United States Code, and other applicable Federal criminal statutes.

(1) serve as the primary Federal coordinating body for the prevention, investigation, and prosecution of cryptocurrency theft and criminal activity directly related to such theft;

(2) improve coordination among Federal law enforcement agencies involved in cryptocurrency theft investigations and prosecutions;

(3) develop and disseminate best practices for Federal, State, and local law enforcement agencies related to evidence collection, analysis of seized digital evidence for cryptocurrency artifacts, investigative techniques, asset tracing, and victim engagement in cryptocurrency theft cases;

(4) provide technical assistance, training, and guidance to State and local law enforcement agencies, including prosecutors, regarding cryptocurrency theft investigations;

(5) facilitate information sharing among Federal, State, local, Tribal, and territorial law enforcement agencies;

(6) identify and report to the Committees on the Judiciary of the House of Representatives and the Senate, any challenges and gaps in existing criminal enforcement authorities and measures related to cryptocurrency theft along with suggestions for reforms to address such challenges; and

(7) coordinate, as appropriate, with international law enforcement partners on cross-border cryptocurrency theft investigations.

The Task Force shall conduct regular outreach to relevant State and local law enforcement agencies to collect information to improve investigative coordination and referral processes related to cryptocurrency theft.

Participation by State, local, Tribal, or territorial governments in activities under this Act shall be voluntary.

(1) means the intentional unauthorized or unlawful use or transfer of a person’s cryptocurrency that constitutes an offense under title 18, United States Code; and

(2) includes gaining access by fraudulent means, including hacking, phishing, tricking, or scamming.

(1) a summary of the activities of the Task Force;

(2) trends and emerging threats related to cryptocurrency theft and criminal activity directly related to such theft;

(3) an assessment of coordination with State and local law enforcement agencies; and

(4) recommendations for legislative or administrative actions to strengthen the investigation and prosecution of cryptocurrency theft.

(1) authorize the regulation of cryptocurrency, digital asset markets, financial institutions, or financial products;

(2) expand or limit the regulatory authority of any Federal agency;

(3) create any new criminal offenses; or

(4) create any private right of action.