Advancing technology has improved the ability of financial institutions and their users to conduct cybercommerce. Improved technology, however, has also provided an opportunity for criminals and fraudsters to use computer software systems to transfer their illicit gains and thereby sustain their criminal enterprises. All cyberpayment systems have common features; they permit the electronic transfer of funds through the use of advanced information technology. These systems all rely on encryption technology and telephone systems to provide security for system users. In recent years, Russian crime organizations have infiltrated the electronic transfer systems of U.S. banks, securities firms, and corporations. U.S. officials are now using "sting" operations in cyberspace. The U.S. Department of Justice created a computer-crime unit in 1992 and is now training prosecutors in techniques to combat cybercrime. As part of the ongoing effort to combat cybercrime, the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) held a colloquium on Cyberpayments in 1995. It produced a report entitled, "Exploring the World of Cyberpayments." A discussion of the policy issues in this current article focuses on enforcement, money laundering, taxation issues, criminal law, privacy, fraud, negligence, jurisdiction over Internet transfers, and electronic fund transfers. A discussion of computer law issues addresses intellectual property and copyright. 18 references