Minnesota Enforces Crypto ATM Ban Amid $1M Scam Reports

WHO:

Cointelegraph - Minnesota residents, particularly senior citizens, are the victims of scams.

Fox Business - Democratic Gov. Tim Walz signed the legislation banning crypto ATMs.

WHAT:

Cointelegraph - Minnesota residents lost about $1 million from scams tied to crypto kiosks from 2023 to 2025.

Fox Business - The ban on cryptocurrency ATMs took effect after reports of nearly $1 million in losses due to scams.

Fox Business - There were 70 cases of fraud schemes reported last year, with more than $540,000 lost and an average loss of nearly $6,800 per transaction.

Fox Business - The existing crypto ATMs must be removed from the state by December 31.

WHERE:

Cointelegraph - The scams occurred in Minnesota.

Fox Business - Crypto ATMs are commonly found in gas stations and convenience stores in Minnesota.

WHEN:

Fox Business - The legislation banning crypto ATMs was signed on May 4.

Fox Business - The ban took effect on a Saturday, with a deadline for removal of existing machines set for December 31.

WHY:

Fox Business - State officials indicated that criminals were disproportionately targeting seniors through scams involving crypto ATMs.

Fox Business - Scammers often impersonate law enforcement officers to pressure victims into using crypto ATMs.

HOW:

Fox Business - Crypto ATM transactions are irreversible and difficult to trace once funds reach a scammer’s digital wallet.

Fox Business - Unlike traditional bank transactions, crypto transactions do not carry comparable consumer protections, as they are recorded on a decentralized blockchain.

(UPDATED August 1, 2026 19:22 UTC)

Minnesota residents, especially senior citizens, have fallen victim to scams tied to cryptocurrency kiosks, resulting in losses of about $1 million from 2023 to 2025. In response to these alarming fraud schemes, which included 70 reported cases last year, Democratic Governor Tim Walz signed legislation banning crypto ATMs, with a deadline for their removal set for December 31. The scams often involve criminals impersonating law enforcement to pressure victims, and since crypto transactions are irreversible and lack consumer protections, many find themselves unable to recover their funds.