The Albuquerque City Council in New Mexico, USA, has banned crypto ATMs and digital asset transactions through cashiers. Once the ordinance takes effect, operators must immediately disable the machines and remove them within 45 days.
The new regulation prohibits the installation, operation, maintenance, and placement of crypto ATMs within the city. The restriction applies to stores and other venues that provide space for such devices.
The ban also covers transactions where a cashier or other employee accepts payment for the purchase, sale, or transfer of cryptocurrency through a website, app, payment terminal, or other platform. However, authorities have not restricted the ownership of digital assets, mining, software development, or transfers between users or via online platforms without the involvement of crypto ATMs and cashiers.
Violations are subject to fines. Authorities can also seek the removal of devices through court orders and revoke licenses from companies that continue to place them.
Reasons
The initiative was introduced by City Council members Stephanie Telles and Tammy Fiebelkorn. According to Telles, about 90% of transactions through crypto ATMs in Albuquerque are linked to fraud. She did not provide independent verification of this estimate.
“No one who legally exchanges or transfers digital currency uses these [devices] because high fees make them unprofitable,” Telles stated.
She claimed that crypto ATMs are primarily used by scammers, organized crime groups, and human traffickers. Fiebelkorn stated that the city does not intend to wait for federal measures while residents fall victim to such schemes.
The issue is not limited to Albuquerque. According to data from the FBI’s Internet Crime Complaint Center, in 2025, Americans filed over 13,400 complaints about fraudulent schemes involving crypto ATMs. Reported losses exceeded $388 million.
The number of reports increased by 23% year-over-year, and the amount of losses rose by 58%. More than half of the complaints came from individuals over 50, accounting for over $302 million in losses.
The FBI clarified that the reported amounts cannot be entirely attributed to crypto ATMs, as some complaints included other methods of transferring funds.
Albuquerque is the latest state to completely ban crypto ATMs amid rising fraud. In June, similar bans were enacted in Delaware and New Jersey. By that time, such measures were already in place or approved in Indiana, Tennessee, and Minnesota.
As of this writing, the United States leads other countries in the number of deployed devices (70.8%). North America accounts for 85.1%, according to Coin ATM Radar.
The leading operator of Bitcoin ATMs is CoinFlip, managing 4,931 devices and holding an 18.1% market share. The top three also include Athena Bitcoin (3,283, 12.1%) and Bitstop (2,831, 10.4%).
In September 2025, Athena Bitcoin was accused of profiting from fraud involving elderly individuals and failing to disclose excessive fees. The lawsuit was filed by Washington, D.C. Attorney General Brian Schwalb. The company denied the allegations.
In March 2026, crypto ATM operator Bitcoin Depot lost its license in Connecticut. At the same time, the company underwent a leadership change, and its revenue forecast dropped by 40%. In April, its systems were hacked, resulting in a $3.7 million theft.
In May, Bitcoin Depot filed for bankruptcy in Texas.
