New Ordinance Enforced in Albuquerque
Albuquerque's city council has enacted a ban on cryptocurrency ATMs and cashier-assisted virtual currency transactions, mandating operators to remove their machines within 45 days of the ordinance’s passage on Wednesday. This regulation aims to curtail fraudulent activities linked to these kiosks, which council members claim account for a significant portion of transactions.
District 1 Councilor Stephanie Telles, who co-sponsored the ordinance with Councilor Tammy Fiebelkorn, highlighted that around 90% of crypto ATM transactions within the city are associated with fraud. Telles criticized the exorbitant fees that deter legitimate users and accused fraudsters and organized crime of exploiting the anonymity and immediacy of these transactions. Fiebelkorn emphasized the urgency in protecting community members, stating, "We cannot delay waiting for federal regulators to address this issue."
Wider Trends in Cryptocurrency Regulations
The ban in Albuquerque aligns with a growing trend among states to restrict or eliminate crypto ATMs. States like Indiana, Tennessee, and Minnesota have already implemented similar measures, with ongoing discussions in places like Delaware and New Jersey concerning further bans. Meanwhile, Bitcoin Depot, the largest U.S. operator of crypto ATMs, filed for bankruptcy in May, closing around 9,700 kiosks, citing restrictions that have hindered operations.
