SPRINGFIELD — Through a new bill, State Senator Mark Walker aims to crack down on more than $163 million lost to cryptocurrency fraud in Illinois in 2023.

“The rise of digital assets has opened the door for financial opportunity, but also for bankruptcy, fraud and deceptive practices,” said Walker (D-Arlington Heights). “We must set standards for those who have evolved in the crypto business to ensure they are credible, honest actors.”

Senate Bill 1797, also known as the Digital Assets and Consumer Protection Act, would allow the Illinois Department of Financial and Professional Regulation to manage guidelines that crypto companies must follow. Through Walker’s bill, IDFPR would be able to adopt rules to protect consumer assets and investments.

Under Senate Bill 1797, cryptocurrency companies would be required to register, provide disclosures and demonstrate the fitness to satisfy payouts. The bill would also require companies to notify their consumers of any charges or transfers of their digital assets, and to build programs to reduce consumer fraud.

Senate Bill 1797 passed the Senate Executive Committee on Thursday.

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