Canada is proposing to ban crypto ATMs as part of a broader crackdown on fraud and money laundering, citing growing evidence that the machines have become a key tool for scammers.

The measure, included in the Liberal government’s Spring Economic Update released Tuesday, would eliminate crypto ATMs nationwide. Officials described the machines as a “primary method” for defrauding victims and laundering illicit funds.

“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 government said, it plans to prohibit the machines entirely.

A crypto ATM (automated teller machine) may sound similar to a traditional cash machine that dispenses money from your…