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Democratic Senator Elissa Slotkin and Republican Senator Jerry Moran have introduced the SAFE Cryptocurrency Act, bipartisan legislation that would create a federal task force to combat crypto fraud after Americans lost $9.3 billion to digital asset scams in 2024—a 66% increase from the previous year.
The bill, formally titled the Strengthening Agency Frameworks for Enforcement of Cryptocurrency Act, would coordinate efforts between the Treasury Department, FBI, Secret Service, and private-sector blockchain analysts to detect and prosecute crypto-related fraud more effectively.
At the heart of the Safe crypto act is the creation of a coordinated task force bringing together the US Treasury, law enforcement agencies, regulators and private-sector participants. The goal, according to its sponsors, is to ensure that crypto scams are identified earlier and prosecuted more effectively.
“This task force, established by the SAFE Cryptocurrency Act, will allow us to draw upon every resource we have to combat fraud in digital assets,” — Elissa Slotkin, US Senator, said in remarks announcing the bill.
Her Republican co-sponsor framed the legislation as a consumer protection measure rather than an attack on innovation.
“As cryptocurrency becomes more widely used, this legislation would help counter threats and make certain all Americans are better protected from crypto scams,” — Jerry Moran, US Senator, said.
For policymakers, the Safe crypto act reflects a rare moment of bipartisan agreement in a polarized Congress, driven by the scale of financial losses and the political sensitivity of protecting retail investors.
The push for the Safe crypto act follows stark data from the Federal Bureau of Investigation, which reported that Americans lost $9.3 billion to crypto-related investment scams in 2024. That figure represents a 66% increase from 2023, highlighting how fraud has accelerated despite awareness campaigns.
Older Americans were particularly vulnerable. According to the FBI, individuals over the age of 60 accounted for $2.84 billion in losses, making them the hardest-hit demographic. Authorities have cautioned that the numbers include any investment scam that merely mentions crypto as part of its pitch, even when no blockchain technology is actually involved.
Still, the scale of reported losses has intensified calls for action. Backers argue that the Safe crypto act could close enforcement gaps that scammers exploit by moving quickly across platforms, jurisdictions and financial systems.
Some industry observers believe the Safe crypto act could significantly shift the risk calculus for fraudsters if it is implemented aggressively. Gabriel Shapiro, general counsel at crypto investment firm Delphi Labs, said the proposal stands out because it centers enforcement rather than regulatory classification.
“Scammers will probably end up shitting themselves if this goes hard,” — Gabriel Shapiro, General Counsel, Delphi Labs, wrote in a post on X, pointing to the involvement of senior officials such as the attorney general, the director of the Financial Crimes Enforcement Network and the director of the US Secret Service.
Shapiro added that the Safe crypto act could be “very useful” because existing securities and commodities regulators tend to prioritize compliance and registration issues over pursuing hackers, scammers and Ponzi scheme operators.
For crypto investors, that focus on criminal enforcement could offer reassurance that fraud, rather than innovation, is the primary target.
Beyond government agencies, the Safe crypto act envisions a role for private-sector specialists with technical expertise in blockchain analysis. Blockchain forensic firm TRM Labs has indicated it is ready to support US officials if the legislation advances.
“By bringing industry and law enforcement together, we can meaningfully reduce criminals’ ability to exploit transformative technologies for harm,” — Ari Redbord, Vice President and Global Head of Policy, TRM Labs, said.
Such collaboration could allow investigators to track illicit networks in real time, an approach proponents say is essential given the speed and complexity of modern crypto scams. Supporters argue that without this level of cooperation, enforcement efforts will continue to lag behind increasingly sophisticated criminal tactics.
For crypto investors, the Safe crypto act signals a potential shift toward stronger protections without directly challenging the legality of digital assets. For policymakers, it offers a framework to address fraud while avoiding broader regulatory battles over classification and market structure.
Whether the Safe crypto act becomes law remains uncertain, but its introduction underscores a growing consensus in Washington that crypto fraud poses a systemic risk to consumers.
As losses mount and scams evolve, lawmakers and industry leaders alike are betting that tighter coordination — rather than fragmented oversight — may be the most effective response.
