Massachusetts Towns Crack Down on Crypto Kiosks Amid Scam Surge
A growing number of Massachusetts towns are banning cryptocurrency kiosks after complaints of scams surged. So far, 20 communities have enacted bans, and more are considering them. This has put pressure on Beacon Hill to decide whether the state should impose its own prohibition.
The issue came to a head after a Haverhill resident was tricked into depositing $5,500 into a kiosk in July 2024, including money from her prayer group and nearly all of her savings. Massachusetts banking authorities provide less oversight of these machines than they do for traditional bank ATMs.
The situation is not unique to Massachusetts; at least 35 states have passed laws regulating crypto kiosks, and five have banned them completely. Every New England state except Massachusetts has some kind of regulation, with Vermont having adopted a full ban.