As of August 1, Minnesota has enacted legislation that entirely prohibits the operation of cryptocurrency ATMs in the state.
The law, signed by Governor Tim Walz in May, mandates that operators deactivate all machines by the beginning of August. Companies have until December 31 to completely dismantle cryptocurrency ATMs from public spaces.
The Minnesota Department of Commerce initiated these restrictions following a significant rise in complaints. The agency reported that between 2023 and 2025, residents lost approximately $1 million due to scams involving cryptocurrency ATMs. In 2025 alone, there were 70 incidents resulting in losses exceeding $540,000, with the average loss per transaction being nearly $6,800.
Regulators noted that the victims of these scams were predominantly elderly individuals. Criminals employed tactics such as fake calls from "relatives in distress," romantic scams, or impersonated government officials demanding money transfers through the ATMs.
The new law also requires companies that operated solely through cryptocurrency ATMs to refund customers any remaining balances. By the end of the year, they must either compensate customers in dollars at the market rate at the time of the transaction or transfer assets to the wallets specified by users.
The scale of the issue is further underscored by FBI statistics. According to the Internet Crime Complaint Center, the total losses for Minnesota residents from cryptocurrency-related crimes exceeded $151.6 million in 2025.
Prior to the full ban, the state had implemented interim measures, including a daily limit of $2,000 for new customers starting August 2024, along with a 72-hour refund policy in cases of fraud detection.
It is worth noting that in May, Bitcoin Depot, a cryptocurrency ATM operator, filed for bankruptcy in Texas. Additionally, in June, Delaware and New Jersey also passed laws banning cryptocurrency ATMs.