Minnesota Moves to Ban Crypto ATMs Over Rising Scam Concerns

May 8, 2026

< 1 min read

by Coin Edition

for CoinEdition

Minnesota Moves to Ban Crypto ATMs Over Rising Scam Concerns

AI Overview

Gov. Tim Walz signed a bipartisan bill to ban crypto ATMs/virtual currency kiosks in Minnesota later this year; about 350 kiosks statewide, roughly 110 operated by Bitcoin Depot. State officials estimate Minnesota residents lost nearly $1 million to kiosk-related scams over three years; fraudsters direct victims to deposit cash into kiosks and convert it to crypto, making on-chain recovery difficult. Ban targets consumer protection and security but will reduce physical crypto access and hit kiosk operators and local adoption, highlighting regulatory and fraud risks for crypto and DeFi ecosystems.

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Gov. Tim Walz signed a bipartisan bill that will ban virtual currency kiosks in Minnesota later this year.
State officials estimate Minnesota residents lost close to $1 million to crypto kiosk scams in three years.
Around 350 virtual currency kiosks operate across Minnesota, including about 110 run by Bitcoin Depot.

Minnesota is set to ban crypto ATMs later this year after Gov. Tim Walz signed a bipartisan bill targeting virtual currency kiosks. The move follows warnings from state regulators and local law enforcement over scam losses linked to machines that sell Bitcoin and other digital assets.

Officials said fraudsters often direct victims to deposit cash into ATM-style kiosks, then convert the money into cryptocurrency. Once funds move on-chain, recovery becomes difficult, leaving older adults and other victims with limited options after the transfer.