Two states have proposed legislation banning crypto ATMs. We explain why and what it could mean for the crypto market.
On June 10, 2026, the Delaware House Economic Development Committee approved House Bill 441 and sent it to the full legislature. The bill would completely ban the installation, ownership, and operation of crypto ATMs, including bitcoin (BTC) ATMs, across the state.
Hot topic: Bitcoin Price Faces Deeper Capitulation as Buyers Bleed, Analysts Warn
The goal is to curb the rise of fraud schemes using these machines. Scammers often use crypto ATMs in social media and dating site scams, tricking victims into sending cryptocurrency.
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Bitcoin ATMs in the US: Grim Statistics
According to the FBI, there were more than 13,400 complaints related to crypto ATMs in 2025, with total losses exceeding $388M—up 58% from the year before. More than half of the victims were over 50. Delaware recorded about $26.9M in crypto-related fraud losses over the same period.
“These kiosks turn digital currency into a predatory tool to seize money,” said Cyndie Romer. She noted that ordinary users rarely use ATMs due to high fees—up to 20%—compared to 0.4%-1% percent on online exchanges.
State Attorney General Kathy Jennings and AARP Delaware both backed the bill, highlighting the vulnerability of elderly residents and the irreversible nature of crypto transactions.
If passed, all existing crypto ATMs must be shut down immediately and removed within 90 days. The ban also covers any devices that mimic kiosk operations. Violations count as an unfair trade practice, with mandatory restitution for victims.
Read more: Canada to Ban Bitcoin ATMs Nationwide — What’s Behind the Crackdown
What Else Is Happening With Crypto ATMs in America
A similar bill recently advanced in New Jersey. If both become law, Delaware and New Jersey will join Indiana, Tennessee, and Minnesota, which already have full bans in place. In New Jersey, fines go up to $10,000 for a first violation and $20,000 for repeat offenses.
The Delaware bill has support from the state’s Department of Justice, state police, AARP Delaware, and the Bankers Association. HB 441 now awaits a vote in the state Senate. Lawmakers emphasize that the ban targets the channels most often used for fraud—not cryptocurrency itself.
Learn more: What Is Crypto ATM — How Bitcoin ATMs Work and Where to Find Them
