Albuquerque Bans Cryptocurrency ATMs to Fight Financial Fraud

Albuquerque's Mayor Tim Keller has signed an ordinance aimed at reducing financial fraud by banning cryptocurrency ATMs in the city. The Virtual Currency Ordinance prohibits the operation, hosting, and facilitation of virtual currency kiosks, as well as cashier-assisted cryptocurrency transactions within Albuquerque city limits.

City officials say the machines have been increasingly used in scams that persuade victims to convert cash into cryptocurrency, making the money difficult or impossible to recover. These scams often target older adults and other vulnerable populations.

Mayor Keller noted that scammers are constantly finding new ways to separate people from their money, and these kiosks have become another tool they can use.

The ordinance was sponsored by City Councilors Stephanie W. Telles and Tammy Fiebelkorn and was approved by the Albuquerque City Council on September 9. Businesses currently hosting virtual currency ATMs will have 45 days from the ordinance's effective date to remove the machines.

Violations of the ordinance could result in daily fines, business license consequences, and other enforcement actions. However, the city emphasizes that the ordinance does not ban cryptocurrency itself. Residents may continue to legally buy, sell, own, mine, and transfer digital currency through online platforms that do not involve a physical cryptocurrency kiosk or cashier-assisted transaction.