H.R. 6069, Fight Illicit Networks and Detect Trafficking Act

Floor Situation

On Monday, June 25, 2018, the House will consider H.R. 6069, the Fight Illicit Networks and Detect Trafficking Act, under suspension of the rules. This bill was introduced on June 12, 2018 by Reps. Juan Vargas (D-CA) and Keith Rothfus (R-PA) and was referred to the Committee on Financial Services, which ordered the bill reported, as amended, by a vote of 53-0, on June 14, 2018.

Summary

H.R. 6069 would require the Government Accountability Office (GAO) to carry out a study on how virtual currencies and online marketplaces are used to buy, sell, or facilitate the financing of goods or services associated with sex trafficking or drug trafficking. The GAO study would also examine how virtual currencies can be used to detect and deter these illicit activities.

Background

Virtual currencies, such as Bitcoin, Dash, Zcash, and Monero, can be used for legal purchases.[1] However, according to recent reports, transnational criminal organizations are increasingly using virtual currencies for illicit activities, including drug trafficking. It has also been reported that virtual currencies are being used to run illegal online marketplaces to sell drugs, including the opioid fentanyl, and contributing to the opioid crisis in America.[2]

According to the bill’s sponsor, “The anonymity behind virtual currencies has made them a preferred payment method to carry out illegal activities. Congress must understand the full extent of how virtual currencies are being used to facilitate drug and sex trafficking and propose legislative solutions to fight these crimes.”[3]

Cost

A Congressional Budget Office (CBO) estimate is currently unavailable.

Staff Contact

For questions or further information please contact Ryan Hofmann with the House Republican Policy Committee by email or at 2-6674.