A proposal from the federal government to ban cryptocurrency ATMs is drawing backlash from Canada’s digital asset industry, with advocates and industry leaders calling for more consultation.

Buried in a section of Canada’s Spring Economic Update 2026 is a subsection outlining the establishment of a Financial Crimes Agency that would combat illicit financial activity like fraud and money laundering. A line item therein reads: “to protect Canadians by shutting down a primary method for scammers to defraud victims and for criminals to place their cash proceeds of crime, the Spring Economic Update 2026 proposes to ban crypto…