As cryptocurrency continues to be rapidly adopted in the United States, legislators hope to better understand how it is used-for legal and illegal purposes.
Ransom Disclosure Act, introduce Senator Elizabeth Warren and Rep. Deborah Ross proposed that victims of ransomware attacks will be required to disclose information about ransom payments to the Department of Homeland Security (DHS).
The bill was introduced on Tuesday to collect key data on payments in fiat and cryptocurrencies and protect investors from cybercrime.
In order to curb illegal financial activities in the United States, Warren’s legislation aims to “fully understand” ransomware attacks:
“The bill with Congresswoman Ross will set disclosure requirements when paying ransoms and let us know how much money cybercriminals have stolen from U.S. entities to fund criminal businesses — and help us hunt them down.”
The bill will also support a study led by the Secretary of Homeland Security to find the link between cryptocurrency and its role in ransomware attacks. The information collected will be used to provide suggestions for improving national cybersecurity.
As Ross pointed out, American investors have not yet been required to report ransomware payments, which, according to her, is the key to responding to ransomware attacks. She said the new legislation “will implement important reporting requirements, including the amount of ransom required and paid, and the type of currency used.”
The bill will require ransomware victims in the United States to disclose the ransom through a website established by the Department of Homeland Security within 48 hours of payment.
While federal authorities continue to introduce bills to regulate the crypto market, a report shared by the US Securities and Exchange Commission urged Congress to “clarify the status of digital assets to clarify when they are securities.”
In addition, a recent bill on Monday, the Digital Token Clarity Act of 2021, requires the SEC to provide a safe harbor for certain token projects.The bill was proposed by Congressman Patrick McHenry and proposed to amend the Securities Act of 1933 to allow projects Provide cryptocurrency tokens without registration With the authorities for three years.