Overview
In a move that could reshape how the federal government polices crypto crime, Congress introduced a bill to create a Federal Cryptocurrency Theft Task Force inside the Justice Department. The legislation, unveiled on June 11 by Reps. Lance Gooden and Josh Gottheimer, would place the unit under the attorney general or a designee and equip it to coordinate theft, hacks, scams and coercion cases across federal agencies. This is happening as lawmakers seek to balance market clarity with a robust response to criminal activity in digital assets.
The proposal arrives months after the Department of Justice dismantled its dedicated crypto team, a move critics warned could hollow out enforcement against sanctions evasion, drug trafficking and escalating scams. Now, the bill aims to rebuild a targeted, cross-agency response while maintaining a market-friendly posture that avoids heavy-handed policing of crypto markets themselves.
As one aide put it, this is about restoring a structured, centralized response without derailing the broader regulatory path being shaped in Washington. The measure would, in effect, separate the policing of misuse from efforts to craft a transparent, rules-based market for digital assets.
Legislative Details
The core idea is simple but far-reaching: establish a Federal Cryptocurrency Theft Task Force within the DOJ that reports to the attorney general or a designee. The task force would coordinate investigations and prosecutions tied to crypto theft, hacks, fraud schemes and coercion, working with U.S. Attorneys’ offices, the Federal Bureau of Investigation, Homeland Security Investigations and other relevant agencies.
Key elements of the bill include:
- Creation of a centralized unit focused specifically on theft and exploitation of digital assets.
- Staffing and funding authority to sustain cross-jurisdictional investigations, including potential international cooperation.
- A mandate to work in tandem with prosecutors pursuing sanctions evasion and drug trafficking cases involving crypto.
- A governance framework that keeps market regulation and enforcement separate, as lawmakers seek to reduce enforcement confusion while expanding theft responses.
The bill’s sponsors argue the move would prevent a repeat of what they see as an over-correction after the NCET’s dissolution. By keeping the theft task force inside the DOJ, they say the department can deliver faster, more consistent prosecutions while continuing to push for clear, predictable market rules outside the enforcement sphere.
Context: Why Now?
The context is a shift in how Washington handles crypto oversight. In April 2025, the DOJ announced the end of the National Cryptocurrency Enforcement Team, prompting Deputy Attorney General Todd Blanche to describe the change as an end to what he called a period of 'regulation by prosecution.' The memo framed prosecutorial focus as targeting individual criminal misuse rather than treating the crypto industry as a whole. Critics argued that stance risked leaving gaps in enforcement against hacks, scams and sanctions violations.
Supporters of the new bill say a dedicated task force would restore momentum on serious crypto crimes while allowing lawmakers to press ahead with broader regulatory reforms. They point to ongoing incidents of exchange hacks, rug pulls and phishing scams that have left investors burning, sometimes for months at a time, and say a centralized unit can accelerate prosecutions and recovery efforts.
Quotes and Reactions
Rep. Lance Gooden, a Republican from Texas, emphasized bipartisanship in tackling crypto crime, saying the proposal would equip law enforcement with a streamlined, accountable mechanism to pursue offenders. A Gottheimer spokesperson underscored the need for a coordinated response that aligns federal enforcement with market clarity.
Industry observers offered cautious optimism. Diana Reed, policy director at a crypto industry association, noted that a dedicated enforcement unit could reduce patchwork investigations and help clarify where rules apply. Still, she warned that any new DOJ authority must come with robust oversight and clear guardrails to avoid stifling legitimate innovation.
A former federal prosecutor, who spoke on condition of anonymity, cautioned that success would hinge on rapid information sharing across agencies and careful budgeting to avoid duplicative work. He added that a formal, centralized unit could help standardize charging practices and sentencing expectations in crypto cases.
Market Implications
The proposed task force arrives at a moment when digital-asset markets are trying to balance growth with risk controls. Investors have long sought clarity on what counts as compliant behavior and what triggers enforcement action. If enacted, the new unit could accelerate legal action against theft rings and scams, potentially deterring future crimes and providing a clearer path for restitution efforts.
Analysts say the bill’s success could hinge on its ability to harmonize enforcement with the broader regulatory agenda already under discussion on Capitol Hill. A more predictable enforcement environment might encourage legitimate players to invest in compliance programs, even as it punishes bad actors more efficiently.
Next Steps
The bill now faces committee consideration. If advanced, it would likely prompt supplemental hearings on how the DOJ should coordinate with other agencies and with foreign counterparts to pursue cross-border crypto crime. Lawmakers will also weigh how this framework interacts with ongoing debates about stablecoins, digital identity, and the proper role of market regulators in policing crypto activity.
As the debate unfolds, the question remains whether this approach can deliver faster prosecutions and better protection for consumers without dampening innovation. Advocates argue that a focused, well-resourced task force can close gaps that emerged after the NCET’s dissolution. Critics warn that a broader crackdown could chill legitimate development if not paired with clear regulatory guidance.
Key Data Points
- The legislation would create a Federal Cryptocurrency Theft Task Force within the DOJ, reporting to the attorney general or a designee.
- Date of introduction: June 11, with bipartisan sponsorship from Rep. Lance Gooden and Rep. Josh Gottheimer.
- The policy follows a DOJ memo from April 2025 that disbanded the NCET and reframedcrypto enforcement as targeting individual misuse rather than industry-wide regulation.
- The new framework aims to separate market-structure oversight from theft-response work, preserving a more permissive market posture while boosting criminal enforcement capacity.
- Expect committee hearings and possible amendments before any floor vote, with potential White House review depending on the administration’s crypto agenda.
Bottom Line
As congress moves rebuild crypto enforcement with a dedicated task force inside the DOJ, the upcoming weeks will reveal whether lawmakers can align enforcement capacity with a clearer regulatory path. The outcome could redefine how federal authorities pursue crypto crime and how markets respond to a more predictable, but robust, enforcement regime. If enacted, the proposal would represent a notable shift in federal crypto policy and set the tone for debates on digital-asset regulation in the 2020s.
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