Cracking down on crypto

The Treasury Department on Tuesday announced a set of actions designed to crack down on ransomware attack payments following a major uptick in cases in recent months against U.S. companies.

As part of the actions, the Treasury Department’s Office of Foreign Assets Control (OFAC) issued its first sanctions against a virtual currency exchange, targeting SUEX OTC for allegedly facilitating ransomware payments.

In addition, OFAC issued an advisory warning that it could issue further sanctions against other cryptocurrency exchanges, cyber insurance companies, and financial institutions facilitating ransomware payments, particularly if the payments are made to previously sanctioned individuals or groups.

The advisory reiterated the federal government’s stance that victims should not pay ransoms, and that facilitating a payment “may enable criminals and adversaries with a sanctions nexus to profit and advance their illicit aims.”

“Ransomware and cyber-attacks are victimizing businesses large and small across America and are a direct threat to our economy,” Treasury Secretary Janet Yellen said in a statement Tuesday. “We will continue to crack down on malicious actors.”