The GUARD Act would let state, local, and Tribal law enforcement agencies use certain existing federal grant funds to investigate elder financial fraud, pig butchering, and general financial fraud. It also directs those agencies to report how they used the money within 1 year, and requires Treasury and FinCEN to produce broader fraud-and-scam reports within 1 and 2 years of enactment. The bill further clarifies that federal law enforcement can help state, local, Tribal agencies and fusion centers use blockchain-tracing tools. The measure does not create a new dollar grant program, but it repurposes eligibility within several existing DOJ grant programs and related federal funding streams.
What This Bill Does
- Lets eligible state, local, and Tribal agencies use certain DOJ and related grant funds for fraud investigations.
- Covers elder financial fraud, pig butchering, and general financial fraud, including crypto-related scams.
- Allows spending on analysts, training, software, tabletop exercises, and a financial-sector liaison.
- Requires a 1-year report back to the grant-making agency on spending, local fraud stats, and deterrence.
- Directs Treasury and FinCEN to submit 1-year and 2-year reports to Congress on scams and enforcement.
Who This Bill Affects
If you are an ordinary consumer, the bill’s main effect is indirect: it could make local and federal responses to elder fraud, crypto investment scams, and other scams more coordinated and better equipped. It would not give you a personal payment or new benefit, but it could improve investigation, victim support, and reporting in the places where these crimes are handled. It also creates new reporting requirements for agencies that use the covered grant funds, which may improve accountability but could add administrative work.
See how this bill affects you — sign in for a personalized analysisCBO Cost Estimate
June 18, 2026As ordered reported by the House Committee on Financial Services on May 13, 2026
Full CBO report →Who Supports & Opposes This
- Local prosecutors and police departments They may support the bill because it gives them flexibility to use existing federal grant funds on modern fraud cases that increasingly involve cryptocurrency, online impersonation, and cross-border networks. The added reporting and training tools could make it easier to build complex cases and coordinate with federal partners.
- Older adults and consumer protection advocates They are likely to favor the bill because it targets elder financial fraud directly and emphasizes victim assistance, data collection, and better coordination with financial institutions. That could improve prevention and help investigators spot repeat or organized scam activity sooner.
- Banks, credit unions, and other financial institutions Financial firms may back the bill’s coordination provisions because it creates a designated liaison and encourages information-sharing with law enforcement. Better communication can help them identify fraudulent transfers, account takeovers, and scam patterns faster.
- Civil liberties and privacy advocates They may worry that broader use of blockchain intelligence tools, expanded information sharing, and more coordination between financial institutions and law enforcement could increase surveillance or data-sharing risks. The bill does not spell out many privacy safeguards for those tools and exchanges.
- Small local agencies with limited staff Some agencies could object that the bill adds new reporting, training, and coordination obligations on top of existing duties. Even with grant flexibility, the paperwork and technical demands of complex fraud work may be hard to absorb without additional resources.
- Budget watchdogs They may question whether the bill creates enough measurable results to justify the added federal reporting apparatus. The legislation expands study, tracking, and annual reporting requirements across multiple agencies without setting aside a new dedicated funding stream.
Key Implications
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““may use such funds for investigating elder financial fraud, pig butchering, and general financial fraud””
This gives eligible law enforcement agencies explicit permission to spend certain federal grant money on fraud cases, rather than being limited to other cybercrime or equipment uses. In practice, that could free up investigators to pursue scams that are often time-consuming and cross jurisdictional lines.
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““hiring and retaining analysts, agents, experts, and other personnel””
The bill allows grant funds to support staffing, not just equipment. That matters because fraud cases often require financial analysts and technical specialists, especially when cryptocurrency or multiple shell accounts are involved.
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““use of blockchain intelligence tools and related capabilities””
This points to investigative tools for tracing cryptocurrency and related digital assets. For victims of pig butchering or other crypto scams, better tracing can improve the chance of following the money, though it does not guarantee recovery.
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““shall, not later than 1 year… issue a report””
Agencies that use the funds must report how much they spent and whether it helped them deter fraud. That adds accountability, but it also means local agencies must track outcomes and document their work for federal funders.
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““submit a report to the Congress on the state of scams in the United States””
Treasury and FinCEN would have to compile a broad national snapshot of scams, losses, enforcement actions, and funding levels across many agencies. That could improve policymaking by making scam activity more measurable and comparable over time.
Official Source & Bill Facts
BillBoard checks this page against public Congress.gov metadata, then adds plain-English analysis where available.
- Bill
- HR 2978
- Congress
- 119th Congress
- Official title
- GUARD Act
- Policy area
- Criminal Justice
- Latest action
- Reported (Amended) by the Committee on Financial Services. H. Rept. 119-709, Part I. (June 24, 2026)
- Last updated
- June 25, 2026
Latest Status
June 24, 2026
Reported (Amended) by the Committee on Financial Services. H. Rept. 119-709, Part I.
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