Fearing Scams, States Add Regulations to Crypto ATMs
- These kiosks allow customers to use cash to purchase cryptocurrency and send it to a digital wallet of their choice. Crypto ATM operators charge fees for the services.
- Lawmakers from both sides of the aisle are alarmed over reports of fraudsters tricking customers, often seniors, into using the kiosks to send money to wallets owned by the scammers. The transactions are irreversible.
- Nearly a dozen states have passed new laws this year putting new anti-fraud restrictions on ATMs. Most of these laws require crypto ATM operators to refund fraudulent transactions, post warnings about the possibility of scams and set a daily transaction limit.
States are increasingly worried…
