Will US private cyber operations finally hit back at $20.8B hacking losses?

The federal government is opening a door that has been shut for decades: letting private companies fight back against hackers on offense, not just defense. Under a new policy from the Trump administration, vetted security firms could soon be authorized to launch US private cyber operations against foreign criminal networks that target Americans online, a shift that upends decades of policy barring private actors from taking offensive action without a court’s blessing.
Key takeaways
- A National Security Presidential Memorandum, dated Aug. 13, 2026, directs the National Coordination Center (NCC) to build a program letting vetted private firms conduct offensive cyber operations against foreign cybercriminals.
- Eligible targets include ransomware gangs, sextortion schemes, phishing campaigns, financial fraud rings, and impersonation scams tied to transnational criminal organizations.
- Participating companies must be approved by the Departments of Justice and Homeland Security, meet strict technical and vetting standards, and post a $1 million escrow deposit that is forfeited for non-compliance.
- Operations may include spyware deployment, encryption-based lockouts, and distributed denial-of-service attacks, but cannot cause loss of life, serious injury, or rise to the level of “use of force” under international law.
- The Justice and Homeland Security Departments have 60 days to spell out how the program will actually work.
U.S. Government Authorizes Private Sector Offensive Cyber Operations
For the first time, Washington is inviting private companies to strike back against overseas hackers under federal authorization, rather than confining them strictly to defense. The memorandum, signed by President Donald Trump, instructs the National Coordination Center, which sits under the Homeland Security Task Force, to build out a formal program for these operations, with oversight split between the Departments of Justice and Homeland Security.
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