Neo Privateers Proposed To Tackle Cybercrime

A new bill in the US Congress proposes using government-sanctioned private agents to fight cybercrime. Cointelegraph reported that Representative David Schweikert introduced the Scam Farms Marque and Reprisal Authorization Act of 2025, which would allow the president to issue special authorisations known as letters of marque. These would permit private individuals or groups, under government contract, to take action against cybercriminals.

The bill defines a broad range of cyber threats as acts of war. These include theft of cryptocurrency, pig-butchering scams, ransomware attacks, identity theft, unauthorised access to sensitive systems, trading in stolen passwords, and spreading malicious code. By labelling such crimes as acts of war, the legislation seeks to give the government and its private partners stronger powers to protect both national security and the economy.

Digital asset losses keep piling up, with billions of dollars in cryptocurrency lost this year alone. US authorities have already retrieved stolen money in some instances, such as seizing Bitcoin and freezing millions of cryptocurrencies belonging to ransomware gangs.

If enacted, the legislation would be a revival of a centuries-old practice, with privateers historically commissioned to serve the national interest. Today, it would provide a new means to fight the increasing menace of cybercrime by combining public and private enforcement.

US Court Grants Temporary Pause In Coinbase Biometric Lawsuit

A US federal judge has granted a temporary pause in a lawsuit against Coinbase over biometric data collection. According to Cointelegraph, Judge Sharon Johnson Coleman of the US District Court for the Northern District of Illinois approved Coinbase’s request to stay the case while awaiting a decision from the US Court of Appeals for the Seventh Circuit.

The suit, initially filed in May, alleges Coinbase infringed on Illinois' Biometric Information Privacy Act by gathering users' facescans during the Know Your Customer process without notice. The plaintiffs also argue that Coinbase shared this sensitive data with third-party verification services without securing consent. Illinois law allows penalties of up to $5,000 for each intentional or reckless violation, and $1,000 for negligent violations.

The court agreed to put the case on hold because doing so could simplify legal issues, make the trial more efficient, and reduce costs for both sides. The judge also noted that the pause would not unfairly disadvantage the plaintiffs.

In May, a separate incident involving contractors in India led to unauthorised access of user data in exchange for bribes. That case also resulted in attempted extortion involving Bitcoin worth $20 million, and several lawsuits have followed. If the appeals court rules in favour of Coinbase, the outcome could influence how similar biometric data cases are handled in the future.

US Ethereum Sees New Highs As Fed Goes Dovish Again And ETF Inflows Return

Ethereum set an all-time high, breaking $4,867 on Coinbase for the first time since November 2021. The surge followed Federal Reserve Chair Jerome Powell’s dovish remarks at the Jackson Hole symposium, which raised expectations of a possible 25-basis-point interest rate cut in September. Such signals often increase demand for risk assets, including Ether.

The rally represents a rise of more than 250 per cent from Ethereum’s April low of around $1,385. On the day of Powell’s remarks, Ether’s price increased by about 14 per cent.

Institutional activity has also added to the momentum. US-based Ether exchange-traded funds recorded $287.6 million in inflows on August 21 after several days of outflows. Corporate treasury adoption has further supported the rise, with companies purchasing about $1.6 billion worth of ETH in the past month. Total corporate holdings of Ether now stand at more than $29.75 billion.

At the same time, Bitcoin’s share of the crypto market has fallen below 60 per cent for the first time since March, showing a shift in investor interest toward Ethereum and other altcoins. The combination of monetary policy expectations, renewed ETF inflows, and corporate accumulation has been central to Ethereum’s latest price movement. The developments suggest that the market environment continues to favor strong activity around the digital asset.