Trump Signs Memorandum Allowing Vetted Firms to Counter Foreign Cybercrime

The U.S. government has introduced a new policy framework that enables certain private companies to participate in cyber operations targeting foreign criminal organizations, under federal supervision. This move follows earlier efforts to address cyber-enabled crime affecting American citizens.

On August 12, 2026, President Donald Trump signed a National Security Presidential Memorandum titled “Expanding Capabilities to Combat Transnational Cyber-Enabled Crime.” The directive instructs the National Coordination Center to create a program that authorizes rigorously vetted U.S. private companies to carry out cyber surveillance and cyber effects operations against foreign cyber-enabled transnational criminal organizations, with government oversight and control.

Participating companies must undergo a strict vetting process and enter into formal agreements with either the Department of Justice or the Department of Homeland Security. These agreements require the companies to maintain a bond or escrow of at least $1 million, which can be forfeited if compliance requirements are not met.

According to the memorandum, all operations conducted by these companies are prohibited from causing loss of life, serious injury, or actions that would be considered use of force or armed attack under international law. The policy also requires that all activities comply with the U.S. Constitution, relevant federal laws, and international obligations.

What the numbers show

• Memorandum signed on August 12, 2026.
• Participating companies must maintain a minimum $1 million bond or escrow.
• Program operating procedures must be established within 60 days of the memorandum.

The memorandum allows these vetted companies to form commercial agreements with other private entities and with federal, state, local, tribal, and territorial agencies. These partnerships enable the sharing of threat information, which can be used to propose cyber operations to the National Coordination Center for approval.

Within 60 days of the memorandum’s signing, Program Executive Directors, working with the Homeland Security Council, are required to establish operating procedures that ensure federal oversight and control of all company activities under the program. This is intended to maintain government supervision throughout the process.

The policy mandates annual reporting on the program’s status to the Assistant to the President and Deputy Chief of Staff for Policy, the Homeland Security Advisor, and the National Cyber Director. This reporting requirement is designed to provide ongoing updates and maintain accountability for the program’s activities.

This memorandum builds on Executive Order 14390 issued on March 6, 2026, which directed a coordinated government campaign against cyber-enabled fraud targeting Americans. Media reports have described the new policy as permitting private companies to conduct government-sponsored cyber operations, including surveillance and disruptive actions, against foreign criminal hacking groups under federal supervision.

* This article is based on publicly available information at the time of writing.