Massachusetts Ponders Statewide Ban on Crypto Kiosks Amid Scam Fears

Massachusetts is taking steps to ban cryptocurrency kiosks after concerns over scams and unregulated transactions. At least 35 states have enacted laws regulating such machines, with five banning them outright. Local officials in several communities are pushing for bans, citing the difficulty of retrieving money from victims who use these machines.

In Beverly, City Councilor Keith Sonia has been a vocal advocate for a ban, calling crypto kiosks a 'scam-factory.' He noted that one 70-year-old woman lost $120,000 over four years by using the machines to send cash to online accounts. The state Senate recently voted to ban the machines statewide as part of an economic development bill.

However, a House version of the bill did not include this measure, leaving it up to a conference committee of six lawmakers to decide the fate of the ban. Two senators on the negotiating team support the ban, but their House counterparts have yet to express a clear stance.

Kiosk owners argue that regulations short of a ban could address the issue, such as requiring refunds for fraud victims. But local officials and some state lawmakers are pushing for stricter measures, citing the need to protect vulnerable community members from scams.