Minnesota flips the switch: state's crypto ATM ban goes live after $1M in reported scam losses 🚫

Minnesota's prohibition on virtual currency kiosks took effect on Saturday following Governor Tim Walz's signing of the bill on May 5. The law, SF 3868, bars crypto ATM operators from "installing, operating, maintaining, or making available" virtual currency kiosks in the state. Companies with machines already deployed must deactivate them by Saturday and have until Dec. 31 to physically remove any units located in places "visible or accessible to the public."

The Minnesota Department of Commerce reported that residents lost about $1 million to scams tied to crypto ATMs between 2023 and 2025. State officials also cited figures from the FBI's Internet Crime Complaint Center, which logged more than $151 million in losses tied to crypto or crypto wallets in Minnesota in 2025. Officials said the schemes "disproportionately targets seniors" and frequently involved victims being pressured to quickly send money under the pretext of fake emergencies.

Data from CoinATMRadar showed 201 crypto ATMs and kiosks were operating in Minnesota before the ban took effect on Aug. 1. The prohibition covers machines allowing users to purchase Bitcoin ($BTC) and other cryptocurrencies.

Minnesota's action is part of a broader wave of state-level measures targeting the machines. Tennessee began enforcing a total ban on crypto ATMs on July 1, while a Georgia law imposing transaction limits and other restrictions went into effect the same day. Delaware and New Jersey lawmakers have advanced bills proposing similar curbs, signaling continued momentum for tighter oversight of virtual currency kiosks across the United States.