The Scam Defense Strategy Act directs the U.S. Cyber Command to develop and report recommendations to Congress on how the Department of Defense can use cyber operations to combat digital scam networks allegedly linked to the Chinese Communist Party. According to the bill, these scam operations—primarily run from Southeast Asia—steal approximately $43.8 billion annually and have cost Americans nearly $2 billion in 2024 alone through fraudulent texts, emails, and phone calls that disproportionately target elderly and vulnerable populations. The legislation emphasizes that these criminal networks are connected to Chinese government officials and state enterprises, pose national security threats by funneling American personal information to a hostile power, destabilize the Indo-Pacific region, and have trafficked an estimated 300,000 people into forced labor at scam facilities. The Commander of U.S. Cyber Command must submit the report to Congress within six months of the bill's enactment, with no specific funding amount mentioned in the legislation.
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