Minnesota is banning crypto ATMs after scammers reportedly used the machines to drain nearly $1 million from residents over the past few years.The machines, also called cryptocurrency kiosks, let people turn cash into digital currency quickly.
That speed has made them a favorite tool for criminals who pressure victims during fake emergencies, legal threats and romance scams.The ban takes effect Aug.1, 2026.
Operators must remove publicly accessible machines by the end of the year.State officials say scammers have used these kiosks to turn panic into payments.
A victim gets a frightening call, heads to a machine and sends cash before anyone has time to step in.That quick window is exactly what criminals count on and what Minnesota wants to stop.Sign up for my FREE CyberGuy ReportTEXT JOB SCAM COST HIM $10K IN CRYPTOMinnesota is banning crypto ATMs after scammers used the machines to pressure victims into fast, hard-to-recover payments.
(Kurt "CyberGuy" Knutsson)Between 2023 and 2025, Minnesota logged 134 complaints involving crypto kiosk scams.Reported losses came close to $1 million.
In 2025 alone, the state reportedly saw 70 cases and more than $540,000 in losses.Those numbers likely tell only part of the story.
Many victims never report what happened.Some feel embarrassed.
Others worry their family will judge them.Scammers know that silence helps them move on to the next target.Minnesota had already tried adding safeguards to these machines.
The state required warnings, limits and consumer protections.Yet law enforcement officials said scammers adjusted.
They stayed on the phone with victims, coached them through the screens and told them what to say if anyone asked questions.Now, Minnesota is taking a much stronger step by removing the machines from public use.Crypto kiosks create a dangerous mix for scam victims.
They accept cash, move money quickly and usually leave very little room for recovery once the transaction goes through.With a bank transfer ...