As cryptocurrencies continue to be accepted in the United States, lawmakers will better understand how to use them – for both legal and illegal purposes.
The Ransom Disclosure Act, introduced by Senator Elizabeth Warren and actress Deborah Ross, requires ransomware attack victims to disclose ransom to the Department of Homeland Security (DHS).
The bill, which was introduced on Tuesday, aims to collect critical data on cash and cryptocurrencies and protect investors from cybercrime.
As part of an ongoing effort to curb illegal economic activity in the United States, Warren’s legislation seeks to create a “complete picture” of ransomware attacks:
“My account with Congressman Ross sets the ransom requirements and allows us to see how much money cybercriminals take from US organizations to fund criminal activities – and help us pursue them.”
The bill will also support a study by the Secretary of Homeland Security to find links between cryptocurrencies and their role in ransomware attacks. The information collected will be used to develop recommendations to improve the country’s cyber security.
Ross explained that US investors have not yet been required to report ransomware payments, which she says is the key to countering ransomware attacks. According to her, the new legislation will “introduce important reporting requirements, including the amount of ransom requested and paid, as well as the type of currency used.”
The bill would require ransomware victims in the United States to disclose ransom within 48 hours of payment through a website created by the Department of Homeland Security.
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As the federal government continues to introduce bills to regulate the crypto market, a joint report from the US Securities and Exchange Commission called on Congress to “clarify the state of digital assets to clarify when they are safe.”
Furthermore, a recently passed law, the Digital Token Transparency Act of 2021, requires the Securities and Exchange Commission (SEC) to have a safe haven for certain token projects. The bill, proposed by Representative Patrick McHenry, proposed an amendment to the Securities Act of 1933 that would allow companies to offer cryptocurrency tokens without government registration for up to three years.