Combatting Money Laundering in Cyber Crime Act of 2025
- Bill Number
- H.R. 5877
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Crime and Law Enforcement
- Status
- Introduced
- Latest Action
- 2026-04-15: Placed on the Union Calendar, Calendar No. 530.
- Last Updated
- 2026-04-23T22:26:19Z
AI-Generated Summary
Combatting Money Laundering in Cyber Crime Act of 2025 (H.R. 5877)
Purpose
The legislation aims to enhance the U.S. Secret Service's ability to investigate crimes involving digital asset transactions (like cryptocurrencies) and transnational cyber criminal activity. This includes targeting unlicensed money transmitting businesses (illegal operations sending money without a license), structured transactions (breaking up large cash deposits to avoid reporting requirements), and fraud against financial institutions.
Key Provisions
- Expands Secret Service jurisdiction (Section 2): Adds authority to investigate specific crimes under 18 U.S.C. § 3056(b), including illegal money transmitting (18 U.S.C. § 1960), money laundering, structured transactions, and fraud against broader financial institutions.
- Extends FinCEN information sharing (Section 3): Increases the time frame for sharing data with the Financial Crimes Enforcement Network (FinCEN) from 5 to 10 years under 31 U.S.C. § 310(d)(3)(A).
- Updates North Korea sanctions (Section 4): Extends a reporting or restriction period related to international financial institutions from 6 to 10 years under the Otto Warmbier North Korea Nuclear Sanctions and Enforcement Act.
- Requires a government report (Section 5): Directs the Government Accountability Office (GAO) to study and report within 1 year on the implementation of a 2020 anti-money laundering law, focusing on law enforcement's tools to detect and prevent money laundering in cyber crimes.
Significant Changes to Existing Law
- Broadens Secret Service powers:
- Adds investigation of 18 U.S.C. § 1960 (unlicensed money transmitting).
- Includes "money laundering" and "structured transactions" explicitly.
- Expands "financial institution" definition to match 31 U.S.C. § 5312 (covers banks, money services businesses, and others, removing the "federally insured" limit).
- Lengthens timelines: Doubles periods for FinCEN data exchange (5 to 10 years) and North Korea sanctions provisions (6 to 10 years).
- Mandates new oversight: Introduces a GAO study on cyber money laundering enforcement.
Potential Impacts
- Government agencies: Empowers the Secret Service with wider investigative reach into cyber and digital asset crimes; increases data retention for FinCEN; requires GAO resources for reporting.
- Citizens and businesses: Heightens scrutiny on digital asset users, money transmitters, and those involved in structuring or fraud, potentially leading to more investigations and prosecutions.
- International relations: Strengthens U.S. sanctions enforcement against North Korea by extending oversight of global financial institutions, which could pressure foreign banks to comply.
Main Stakeholders
- Law enforcement: U.S. Secret Service (primary beneficiary), FinCEN, and other agencies fighting cyber crime and money laundering.
- Financial sector: Banks, digital asset platforms, money services businesses (increased compliance and investigation risks).
- Criminals and bad actors: Transnational cyber criminals, unlicensed money transmitters, and North Korea-related entities (greater deterrence and enforcement).
- Congress and oversight bodies: House Financial Services and Senate Banking Committees (receive GAO report); GAO (conducts study).
Notable Legal, Constitutional, or Political Implications
- Legal: Expands federal investigative authority without new funding, potentially overlapping with FBI or other agencies' roles in cyber/financial crimes; relies on existing statutes like the Bank Secrecy Act.
- Constitutional: No direct challenges noted, but broader surveillance-like data sharing (e.g., FinCEN extension) could raise privacy concerns under the Fourth Amendment if not balanced with safeguards.
- Political: Bipartisan sponsorship (introduced by Reps. Fitzgerald, Pettersen, Nunn, Sherman); positions Congress as proactive on cyber threats and digital assets amid rising crypto-related crimes; may influence future anti-money laundering reforms.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Fitzgerald, Scott [R-WI-5]
Cosponsors (3)
Rep. Pettersen, Brittany [D-CO-7], Rep. Nunn, Zachary [R-IA-3], Rep. Sherman, Brad [D-CA-32]
Recent Actions
- 2026-04-15: Placed on the Union Calendar, Calendar No. 530.
- 2026-04-15: Committee on the Judiciary discharged.
- 2026-04-15: Committee on the Judiciary discharged.
- 2026-04-15: Reported (Amended) by the Committee on Financial Services. H. Rept. 119-612, Part I.
- 2026-04-15: Reported (Amended) by the Committee on Financial Services. H. Rept. 119-612, Part I.
- 2026-01-22: Ordered to be Reported (Amended) by the Yeas and Nays: 54 - 0.
- 2026-01-22: Committee Consideration and Mark-up Session Held
- 2025-10-31: Referred to the Committee on Financial Services, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-10-31: Referred to the Committee on Financial Services, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-10-31: Introduced in House
- 2025-10-31: Introduced in House
Bill Versions
- Combatting Money Laundering in Cyber Crime Act of 2025 — issued 2025-10-31 — PDF (3 pages)
- Combatting Money Laundering in Cyber Crime Act of 2025 — issued 2026-04-15 — PDF (6 pages)