MA Lawmakers Consider Ban on Crypto ATMs Amid $77M Scam Losses

Massachusetts lawmakers are considering a ban on cryptocurrency ATMs after residents lost over $77 million to scams in 2024 alone. The proposed ban is part of an economic development bill being debated by lawmakers this week.

The scammers target victims with convincing stories, often posing as customer service representatives who claim the victim's account has been hacked. They instruct the victim to deposit cash into a cryptocurrency kiosk and transfer the funds to a digital wallet controlled by the scammer.

Law enforcement officials say recovery is difficult because scammers often move funds through 'mixing' or 'tumbling' services, making it hard to track the money. The funds frequently end up in private wallets or foreign-based exchanges that may not cooperate with U.S. law enforcement.