The SEC has vowed that its cyber police will still patrol the markets during President Trump’s second administration. On February 20, 2025, the regulator announced the creation within the Division of Enforcement of the Cyber and Emerging Technologies Unit (CETU), which replaces the Crypto Assets and Cyber Unit and will have seven new priorities. Following the announcement, CETU seems to have handed fresh white hats to its attorneys and fraud specialists. Their mission is “to protect retail investors from bad actors in the emerging technologies space” and “to focus on combatting cyber-related misconduct,” the SEC declared. Fraud enabled by artificial intelligence (AI) and machine learning tops the priorities list. Giving AI the lead billing fits the current technology moment, observed Debevoise partner Erez Liebermann. Deepfakes and other AI deceptions have turbocharged investment scams. “There is a tremendous ability now with AI to generate messages to mislead investors,” including in connection with schemes to cause investors to pump and dump stocks, he said. This article discusses cyber and AI securities enforcement on the horizon and distills six steps that firms can consider to prepare for CETU’s new priorities, with insights from SEC enforcement specialists at A&O Shearman, Davis Polk, Debevoise, Katz Banks Kumin and Morrison & Foerster. See “SEC 2025 Exam Priorities Stress Core Fiduciary Duties and Effective Compliance Programs” (Dec. 5, 2024).