Government Turns to 21st-Century Privateers to Wage War on Cybercrime

Generated by AI AgentCoin World
Friday, Aug 22, 2025 11:37 pm ET2min read
Aime RobotAime Summary

- U.S. Congress debates David Schweikert's 2025 bill to authorize government-sanctioned cyber "privateers" targeting cybercriminals threatening national security.

- The legislation revives 18th-century "letters of marque" to empower private actors to seize assets and detain individuals linked to ransomware, crypto theft, and foreign cyberattacks.

- DOJ has already seized over $350 million in crypto from ransomware groups, aligning with Trump's 2025 executive order to establish a national crypto reserve from forfeited assets.

- The bill addresses forced labor in cybercrime networks but faces criticism over legal risks, diplomatic tensions, and unclear oversight mechanisms.

The U.S. Congress is currently reviewing the Scam Farms Marque and Reprisal Authorization Act of 2025, a bill introduced by Arizona Republican David Schweikert that seeks to empower the president to authorize government-sanctioned cyber "privateers" to combat cybercriminals posing threats to U.S. national and economic security. If passed, the legislation would allow the executive branch to issue letters of marque and reprisal, a revival of an 18th-century legal concept historically used to authorize private vessels to engage in attacks against foreign adversaries. Under the proposed framework, private individuals or entities contracted by the government would be permitted to take actions—including seizing assets and detaining individuals—against cybercriminals, including those affiliated with foreign governments, who engage in activities such as ransomware attacks, crypto theft, identity fraud, and the deployment of malicious code [1].

The bill defines cybercrime as an “act of war” and frames the activities of organized cybercriminal enterprises, including foreign actors, as a national security threat. Schweikert emphasized that the U.S. lacks the tools to effectively counter these threats and argued that the proposed legislation would allow for more proactive measures, leveraging mechanisms similar to those that historically helped secure U.S. maritime interests. The bill explicitly authorizes the president to determine which cyber actors qualify as threats and to commission private operators to engage them. The number of privateers is not capped, and their actions are subject to what the president deems necessary to protect U.S. infrastructure and prevent future cyberattacks [2].

The bill's introduction coincides with a surge in cybercrime-related losses. In 2024 alone, U.S. citizens lost $16.6 billion to scams, the highest figure in 25 years of record-keeping. The total amount of stolen crypto in 2025 has already exceeded $3 billion, with over $142 million lost in July alone. Recent enforcement actions by the Department of Justice (DOJ) highlight the scale of these threats. For instance, the DOJ seized $2.8 million in crypto from a wallet linked to Ianis Aleksandrovich Antropenko, who was charged with leading a ransomware operation using the Zeppelin malware. Additionally, the DOJ has previously taken over $2.3 million in

from the Chaos ransomware group and $1 million from the ransomware operation [1][4].

Such seizures reflect a broader strategy by U.S. law enforcement to disrupt cybercriminal operations by targeting their financial infrastructure. These efforts align with a January 2025 executive order by President Donald Trump establishing a national Bitcoin and crypto reserve, which could include assets forfeited through investigations. The government has also demonstrated a willingness to pursue historic crimes, as seen in the unsealing of multiple warrants against ransomware operators. The DOJ's Computer Crime and Intellectual Property Section (CCIPS) has seized over $350 million in crypto since 2020 and secured convictions in more than 180 cybercrime cases [1][3].

The proposed legislation has also drawn attention to the broader implications of cybercrime, particularly its ties to human rights abuses. Schweikert's office highlighted reports of forced labor in scam operations in regions like Myanmar and China, where individuals are trafficked and coerced into carrying out cyberattacks. The bill is framed not only as a cybersecurity measure but as a means to address these underlying human rights concerns by targeting cybercriminal networks. However, the bill's prospects remain uncertain, as it faces questions regarding its feasibility, legal risks, and potential diplomatic tensions with foreign governments targeted by U.S. cyber privateers [2].

Source:

[1] US bill proposes 21st-century privateers to take on... (https://cointelegraph.com/news/us-bill-neo-privateers-answer-cybercrime)

[2] Bill would give hackers letters of marque against US enemies (https://www.theregister.com/2025/08/21/congressman_proposes_bringing_back_letters/)

[3] $2.8 Million Crypto Seizure from Ransomware Operator... (https://www.hipaajournal.com/2-8-million-crypto-seizure-zeppelin-ransomware/)

[4] DOJ Seizes Nearly $3 Million in Cryptocurrency after... (https://www.fedagent.com/news/doj-seizes-nearly-3-million-in-cryptocurrency-after-ransomware-attacks)