Ransomware attacks are frequent and escalating as we speak. Double extortion scams are hitting companies at a dizzying pace, and catching companies, large and small, off-guard. U.S. President Joseph Biden warned Russian President Vladimir Putin to knock it off during their first summit [view related post]. Nonetheless, and not surprisingly, the attacks continue, particularly out of Russia.

The White House announced today that it is intent on combating ransomware, and appointed a task force to specifically address ransomware threats to government agencies and private businesses. One of the goals of the task force will be to determine how to choke the ransomware threat actors from access to their cryptocurrency. According to a senior official in the White House, “The exploitation of virtual currency to launder ransomware proceeds is without question, facilitating ransomware…[T]here’s inadequate international regulation of virtual currency activity which is a key factor in how cybercriminals are able to launder their funds, demand ransomware payments, and fuel sophisticated cybercrime as a service business model.”

The Treasury Department will take the lead on developing money laundering requirements for virtual currency exchanges and will develop a public-private partnership that will share information to combat the use of cryptocurrency for money laundering purposes.

The White House’s ransomware task force will also focus on information sharing between public and private enterprises to assist with resilience against ransomware and require mandatory reporting of ransomware incidents and payments.

Ransomware continues to cripple our government, national security, and private businesses. We look forward to following the task force’s efforts and, hopefully, see some positive results.

Photo of Linn Foster Freedman Linn Foster Freedman

Linn Freedman practices in data privacy and security law, cybersecurity, and complex litigation. She is a member of the Business Litigation Group and the Financial Services Cyber-Compliance Team, and chairs the firm’s Data Privacy and Security and Artificial Intelligence Teams. Linn focuses her…

Linn Freedman practices in data privacy and security law, cybersecurity, and complex litigation. She is a member of the Business Litigation Group and the Financial Services Cyber-Compliance Team, and chairs the firm’s Data Privacy and Security and Artificial Intelligence Teams. Linn focuses her practice on compliance with all state and federal privacy and security laws and regulations. She counsels a range of public and private clients from industries such as construction, education, health care, insurance, manufacturing, real estate, utilities and critical infrastructure, marine and charitable organizations, on state and federal data privacy and security investigations, as well as emergency data breach response and mitigation. Linn is an Adjunct Professor of the Practice of Cybersecurity at Brown University and an Adjunct Professor of Law at Roger Williams University School of Law.  Prior to joining the firm, Linn served as assistant attorney general and deputy chief of the Civil Division of the Attorney General’s Office for the State of Rhode Island. She earned her J.D. from Loyola University School of Law and her B.A., with honors, in American Studies from Newcomb College of Tulane University. She is admitted to practice law in Massachusetts and Rhode Island. Read her full rc.com bio here.