U.S. Plan Seeks to Dismantle Overseas Crypto Scam Networks

A New Federal Push Against Digital Asset Scams

On October 21, 2026, U.S. President Donald Trump is set to announce a federal crackdown on online crypto scams. The goal is simple: protect American investors from sophisticated schemes operating across borders.

This action follows a noticeable rise in cyberCYBER+0.00% fraud. Last year, the Federal Bureau of Investigation (FBI) received over one million reports of internet scams, marking a 17% increase compared to 2024.

Key Cabinet Leaders Join the Crackdown

The upcoming White House announcement brings together top officials from multiple government departments. The effort highlights that tackling financial cybercrime is a major priority for federal law enforcement and national defense.

Expected attendees for the announcement include:

• FBI Director Kash Patel
• Attorney General Todd Blanche
• Homeland Security Secretary Markwayne Mullin
• Defense Secretary Pete Hegseth

The collaborative effort was highlighted by financial news outlet Watcher.Guru on social media, reporting that President Trump will officially outline measures to combat international networks targeting American citizens.

Targeting Overseas Networks and Pig-Butchering Schemes

The federal plan focuses heavily on organized crime groups operating from outside the United States. These networks use fake investment websites, deceptive mobile apps, and impersonation tricks to mislead everyday users.

A primary focus of law enforcement is stopping pig-butchering scams. In these operations, bad actors build romantic or friendly relationships with victims over time. Once trust is established, they convince victims to deposit funds into fake trading platforms that mimic real platforms.

Recovering stolen digital assets remains difficult once transactions move to criminal-controlled blockchain addresses. However, law enforcement agencies have already made initial progress by shutting down 241 fraudulent websites and 112 servers tied to these networks.

California Enacts New Rules for Public Official Memecoins

Federal action isn't the only move taking place in the United States. States are also introducing new legislation to clean up the digital asset space.

On September 27, 2026, California Governor Gavin Newsom signed 11 bills focused on consumer protection and anti-corruption. Among these laws is Assembly Bill 2409 (AB 2409).

Assembly Bill 2409 explicitly prohibits public officials and government employees from creating or issuing memecoins. Furthermore, starting January 1, 2027, crypto exchanges and platforms will be restricted from listing or offering memecoins connected to public officials.