Minnesota has enacted a complete ban on cryptocurrency ATMs, citing significant losses from scams targeting residents.
Minnesota has officially banned cryptocurrency ATMs as of August 1, following legislation signed by Governor Tim Walz in May. Operators are required to shut down all machines by the beginning of this month, with a deadline of December 31 for complete removal from public areas.
The Minnesota Department of Commerce introduced these measures in response to a surge in consumer complaints. Between 2023 and 2025, residents reportedly lost around $1 million due to scams linked to cryptocurrency ATMs. Notably, in 2025, there were 70 reported incidents resulting in losses over $540,000, with the average loss per transaction nearing $6,800.
Victims of these scams were mostly senior citizens, who were targeted through various deceptive tactics, including impersonations of relatives in emergencies and fraudulent government officials soliciting money transfers via ATMs.
The new legislation also mandates that companies relying solely on cryptocurrency ATMs must refund customers for any remaining balances. By year-end, they are obligated to either return funds in dollars based on the market rate during the transaction or transfer assets to designated user wallets.
The alarming scale of the problem is highlighted by FBI data, which indicates that Minnesota residents suffered over $151.6 million in losses from cryptocurrency-related crimes in 2025 alone.
Before the full ban, Minnesota had implemented temporary regulations, including a $2,000 daily limit for new users starting in August 2024, as well as a 72-hour refund policy for fraudulent transactions.
In related news, Bitcoin Depot, a notable cryptocurrency ATM operator, filed for bankruptcy in Texas in May, while Delaware and New Jersey also enacted bans on cryptocurrency ATMs in June.
