Summary

Creates an independent working group to study how terrorists and other illicit actors use digital assets and to recommend legislative and regulatory fixes. It sets membership, duties, a reporting schedule to Treasury and Congress, and a sunset after up to four years. Directs the President, through the Treasury Secretary and in consultation with the working group, to deliver a public, unclassified report within 180 days on how digital assets could be used to evade sanctions, finance terrorism, or launder money, and to outline a U.S. strategy to prevent those uses. The report must be posted online (with a possible classified annex), and Treasury must brief Congress on progress within two years.

• Creates an Independent Financial Technology Working Group to research illicit uses of digital assets and recommend fixes.
• Requires an unclassified, public Treasury report within 180 days on digital assets’ roles in sanctions evasion, terrorist financing, and money laundering.
• Mandates a U.S. strategy in that report to prevent illicit uses, with a possible classified annex.
• Treasury must brief Congress on strategy implementation within two years.
• Working group terminates after wind-up or four years from enactment.
• Defines key terms (e.g., digital asset, blockchain intelligence company, illicit use) for consistent application.
• Focuses on research, reporting, and recommendations—no new penalties or enforcement powers are created.
• Targets national security risks from misuse of crypto and related technologies while promoting transparency.