The U.S. House of Representatives has successfully passed the Guarding Unprotected Aging Retirees from Deception Act, often referred to as the GUARD Act. This bipartisan legislation aims to enhance law enforcement capabilities to combat elder financial fraud, particularly as it relates to the growing concerns surrounding cryptocurrency investment scams. The bill, designated as H.R. 2978, received approval on September 15, 2026, and is now set to move forward to the Senate for further deliberation. The initiative has been co-led by Representatives Josh Gottheimer, Zachary Nunn, and Scott Fitzgerald, who have responded to mounting worries about the increasing complexity of financial crimes aimed at older adults in the United States.
As the elderly population continues to be disproportionately targeted by scammers, the GUARD Act addresses a pressing issue that has caught the attention of law enforcement agencies and financial regulators alike. According to the FBI’s 2025 Internet Crime Complaint Center report, the total losses resulting from internet crimes soared to a staggering $20.9 billion in 2025, marking a 26% rise from the previous year. Disturbingly, cryptocurrency-related losses accounted for approximately $11.37 billion across an overwhelming 181,565 complaints, while investment fraud contributed more than $8.6 billion in losses. These alarming statistics underline the severe impact of financial crimes, particularly on older Americans who are often perceived as vulnerable by sophisticated scammers.
The GUARD Act proposes critical measures to empower various law enforcement agencies—including state, local, and Tribal organizations—by granting them access to existing federal grant funding designated specifically for investigating elder financial fraud, general financial fraud, and what has become known as “pig butchering” cryptocurrency scams. This legislative move aims to facilitate the hiring of specialized analysts and experts specifically trained to handle complex financial crimes, many of which transcend local jurisdictional boundaries. Additionally, federal law enforcement agencies will be given the authority to assist their state, local, and Tribal counterparts by providing essential blockchain tracing tools and technologies. Such resources will significantly enhance the capability to track the movement of stolen funds and identify perpetrators involved in cryptocurrency scams.
One of the focal points of the legislation is its explicit targeting of “pig butchering” scams. This term describes a fraudulent method by which criminals develop a trusting relationship with their victims over a prolonged period, subsequently persuading them to invest in fake opportunities. The process often involves gradually increasing the victim’s confidence, leading them to invest larger sums of money before the fraudsters abscond with the funds. The GUARD Act also mandates that the Treasury Department, along with the Financial Crimes Enforcement Network (FinCEN) and other federal partners, provide a detailed report to Congress. This report will outline the scope of financial scams in the United States, including the annual losses incurred by Americans, the involvement of overseas criminals, and an assessment of the efficacy of existing enforcement mechanisms.
The introduction of the GUARD Act has garnered substantial support from a range of organizations, including AARP, the Iowa State Police Association, the Financial Technology Association, the Consumer Bankers Association, and the Crypto Council for Innovation. Representative Nunn articulated that the legislation was in direct response to concerns raised by a sheriff’s deputy from Iowa, who highlighted the limitations local law enforcement faced in effectively tracking down criminals and recovering stolen funds for victims. Law enforcement agencies and various stakeholders within the financial sector regard this legislative effort as a vital response to the rapidly evolving landscape of fraud schemes, which often have roots in overseas criminal networks.
As the GUARD Act progresses through the legislative process, its advocates are hopeful that it will provide the necessary tools and resources to combat the alarming rise in financial crimes targeting seniors. By addressing this significant issue with supportive legislation, lawmakers aim to foster a safer financial environment for elderly citizens, ultimately helping them protect their hard-earned savings from increasingly sophisticated fraudsters.