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U.S. Plans Strict Regulation for Crypto ATMs

U.S. Plans Strict Regulation for Crypto ATMs

CoinspaidmediaCoinspaidmedia2025/08/14 01:30
By:Coinspaidmedia

U.S. senators from the state of Wisconsin introduced a bill aimed at imposing strict requirements on cryptocurrency ATM operators in the region.

U.S. Plans Strict Regulation for Crypto ATMs image 0

The Wisconsin Senate filed Bill 386, designed to prevent fraud via crypto ATMs.

According to the bill, every crypto ATM operator in Wisconsin will be required to:

  • hold a valid money transmitter license;
  • collect customer data (full name, date of birth, address, email, phone number);
  • require a government-issued ID (passport or driver’s license) and take a photo of the customer;
  • perform identity verification for every transaction;
  • display a fraud risk warning on the device within the user’s view.

The maximum transaction amount per account will be limited to $1,000 per day. Fees for customers will be capped at a fixed amount of $5 or 3% of the transaction volume. If a transaction is deemed fraudulent and confirmed by law enforcement within 30 days, the operator will be required to fully reimburse the customer.

According to Coin ATM Radar, Wisconsin currently has 582 cryptocurrency ATMs.

The initiative by local authorities comes amid warnings from the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) about a rise in crimes involving crypto ATMs. According to the agency, such devices are increasingly used for illegal activity. In 2024, complaints about crypto ATM fraud rose by 99%, with older users particularly vulnerable. Losses from crypto ATM fraud reached $247 million last year.

The bill is referred to the U.S. House Committee on Financial Services and, if approved, the requirements will take effect within 60 days.

Previously, CP Media explained how crypto ATMs differ from traditional ATMs, the opportunities they offer during travel, and in which countries they’re easiest to find.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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