Minnesota Bans Crypto ATMs After Scammers Drained Nearly $1 Million From Residents, Mostly Seniors
Minnesota banned crypto ATMs effective August 1 after tying roughly $1 million in scam losses to the machines between 2023 and 2025. Scammers keep victims on the phone while sending them to nearby kiosks to convert cash into irreversible crypto payments — coaching them through every screen tap and telling them to ignore warning labels. Fake emergencies like missed jury duty, family accidents, and account security threats create enough panic that people override their instincts.
The problem is nationwide. The FBI's IC3 received more than 13,400 crypto kiosk complaints in 2025 with losses topping $388 million, and over half involved people over 50. Crypto ATMs accept cash, process quickly, and leave little room for recovery — making them a favorite tool for scammers who rely on fear and urgency.
What to look for
- Callers creating a sense of emergency (jury duty, family accident, account threat) and directing you to a crypto ATM
- Someone staying on the phone while you withdraw cash and visit a kiosk, coaching you through the screens
- Instructions to ignore warning labels on the crypto ATM
- Requests to convert cash to cryptocurrency as a way to "protect" money or pay a fine