Revival of 18th Century Law: A New Era in Combating Crypto Crime
By: Eva Baxter
In a significant development, US Representative David Schweikert has introduced groundbreaking legislation, dubbed House Resolution (H.R. 4988), which aims to harness an ancient maritime law to combat digital-era crypto crimes. This proposal leverages the concept of "letters of marque and reprisal," a mechanism from the 18th century that once empowered private citizens to capture enemy vessels. In today's context, this legal framework is proposed to allow US private individuals or entities to pursue cybercriminals operating beyond national borders, aiming to recover stolen digital assets and disrupt cybercriminal activities that threaten US interests.
The bill, if enacted, would mark a paradigm shift from traditional intelligence-based operations to proactive engagement in cyber defense. It allows private actors to use "all means reasonably necessary" to target and secure assets from foreign cyber criminals, including those sponsored by nation-states. A security bond would be required to ensure that these hired privateers follow the law. Currently under review by the House Committee on Foreign Affairs, this legislation seeks to redress growing frustrations with crypto-related cybercrime, particularly highlighted by high-profile hacks perpetrated by groups like North Korea's Lazarus Group.
Schweikert has pointed out that existing legal structures have failed to keep pace with the sophisticated tactics of modern cybercriminals. By melding constitutional legacy with contemporary technological challenges, this proposal offers a unique chance to innovate US strategy against cyber threats. Although still in its legislative infancy, the bill promises to create an unprecedented framework for dealing with cross-border crypto crimes, potentially ushering in a new era of cyber policy.
In parallel, the recent conviction of Roman Storm over Tornado Cash has ignited an intense debate regarding the US crypto policy, balancing privacy with security. Echoing past encryption controversies, this case emphasizes the ongoing struggle to define privacy rights in the digital landscape. As legal experts continue to parse the implications of Storm's case, it signals a broader dialogue about the evolving landscape of digital assets in America and the importance of clear definitions and regulatory standards. Such discussions underscore the urgent need for comprehensive legislative solutions to persisting challenges in crypto regulation and enforcement.
