On December 12, 2025, U.S. Senators Jerry Moran (R-Kan.) and Elissa Slotkin (D-Mich.) unveiled a significant piece of bipartisan legislation aimed at addressing the growing concern of cryptocurrency fraud. The Strengthening Agency Frameworks for Enforcement of Cryptocurrency, also known as the SAFE Crypto Act, seeks to establish a task force that would unite federal authorities and the private sector to identify and combat scams related to digital currencies.
The legislation emphasizes the necessity of a coordinated approach in tackling the burgeoning problem of fraud within the cryptocurrency ecosystem. “With fraud and other payment scams continuing to grow, protecting the financial security and well-being of Kansans is critical,” said Sen. Moran. He highlighted the importance of collaboration among government agencies, law enforcement, and the financial services industry in effectively combating these threats.
As cryptocurrencies rise in popularity, the risk of fraud also increases. “It’s critical we protect Americans against scams in all industries, but especially cryptocurrency as it becomes more popular,” said Sen. Slotkin. She stressed that equipping local law enforcement with the right tools is essential in ensuring that individuals can safeguard their funds. This newly proposed task force aims to harness all available resources in the fight against digital asset fraud.
Ari Redbord, Vice President and Global Head of Policy at TRM Labs, provided insight into the scale of the issue, noting, “Over the last two years, we’ve tracked billions in scams and fraud across the crypto ecosystem.” He emphasized that effective solutions require timely actions, stating, “This legislation enables public-private collaboration using blockchain intelligence to track, interdict, and disrupt illicit networks as activity is occurring — helping protect victims and ensure a safer financial system.”
The proposed task force will comprise a diverse set of representatives, including state bank regulators, federal and local law enforcement, and industry groups encompassing stablecoin issuers, cryptocurrency exchanges, and blockchain intelligence providers. Additionally, consumer protection advocates and other relevant private-sector stakeholders will be invited to contribute.
The task force will be chaired by the Department of Treasury, alongside other federal agencies such as the Office of the Attorney General, the Financial Crimes Enforcement Network (FinCEN), and the Secret Service. This collaborative framework aims not only to enhance enforcement efforts but also to foster communication and information sharing among stakeholders.
Following its establishment, the task force will be required to report its progress to the Senate Banking and Agriculture committees as well as the House Financial Services and Agriculture committees within a year. Subsequent annual updates will help ensure accountability and continued focus on combating cryptocurrency fraud.
The SAFE Crypto Act emerges at a crucial time, as lawmakers and industry leaders recognize the threats posed by the increasing allure of digital currencies to scammers. With more individuals entering the crypto market, the potential for fraudulent activities grows, underscoring the urgency of the task force's mission.
In conclusion, the establishment of the SAFE Crypto Act represents a proactive step towards safeguarding consumers in the digital finance space. As it progresses through the legislative process, the focus will remain on enhancing protection measures and promoting collaboration among various stakeholders to effectively tackle the threats that cryptocurrency fraud presents. This initiative could set a precedent for future regulatory approaches as the digital landscape continues to evolve.