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Hawaii bans crypto ATMs, citing $80M in scam losses

Created at 12 Aug · 9:31 PM1 source↑ Market-relevant
IN SHORT

Hawaii will ban cryptocurrency ATMs and kiosks starting October 1, following similar measures in Minnesota, Tennessee, and Indiana. The state cited over $80 million in losses from digital asset scams reported by residents.

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Key Numbers

Oct. 1Effective date of Hawaii's crypto ATM ban
4US states with crypto ATM bans
$11 billionUS digital asset scam losses in 2025
$80 millionHawaii residents' digital asset scam losses
826Crypto scam complaints from Hawaii residents in 2025
57Crypto ATMs and kiosks operating in Hawaii

Who's Involved

Josh Green
Governor of Hawaii who signed the crypto ATM ban into law
Hawaii Legislature
Passed House Bill 1642, leading to the crypto ATM ban
Federal Bureau of Investigation (FBI)
Provided data on digital asset scam losses

↳ Why This Matters

The ban reflects a growing trend among U.S. states to regulate or prohibit cryptocurrency ATMs due to concerns over scams and illicit activities, potentially impacting access to digital assets for some consumers.

Key facts

  • Hawaii will ban cryptocurrency ATMs and kiosks starting October 1.
  • The ban targets "digital financial asset transaction kiosks" that accept U.S. currency.
  • The decision follows a report of over $80 million in losses from digital asset scams by Hawaii residents.
  • Nationwide, digital asset scams resulted in over $11 billion in losses in 2025, according to the FBI.
  • Hawaii is the fourth U.S. state to enact such a ban, following Minnesota, Tennessee, and Indiana.

Hawaii is set to implement a comprehensive ban on cryptocurrency ATMs and kiosks, with the prohibition taking effect on October 1. Governor Josh Green signed House Bill 1642 into law in July, prohibiting the operation of digital financial asset transaction kiosks that accept U.S. currency in exchange for digital assets.

The legislative action was prompted by significant financial losses attributed to digital asset scams. The FBI's Internet Crime Complaint Center reported that Americans lost over $11 billion to such scams in 2025. Specifically within Hawaii, residents filed 826 complaints related to cryptocurrency in 2025, resulting in approximately $80 million in losses.

Hawaii's ban follows similar measures enacted in Minnesota, Tennessee, and Indiana, which have already prohibited crypto kiosks. Other states, such as Delaware and New Jersey, have proposed similar legislation, while South Dakota and Wyoming have introduced stricter regulations for crypto ATM activities. Data from CoinATMRadar indicates that 57 crypto ATMs and kiosks were operational across Hawaii's main islands as of Wednesday.

Frequently asked questions

The ban will take effect on October 1.

The ban is a response to significant losses from digital asset scams, with Hawaii residents losing approximately $80 million.

As of the report, there were 57 crypto ATMs and kiosks operating across Hawaii's main islands.

Minnesota, Tennessee, and Indiana have also enacted total bans on cryptocurrency kiosks.

What Happens Next

01The ban on cryptocurrency ATMs and kiosks will take effect in Hawaii on October 1.

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How It Developed

Hawaii's legislature passed House Bill 1642 in May.
Governor Josh Green signed the bill into law in July.
The ban on cryptocurrency kiosks and ATMs will take effect October 1.
The law aims to curb losses from digital asset scams, which totaled over $11 billion nationwide in 2025.
Hawaii residents reported approximately $80 million in losses from digital asset scams, including those involving ATMs and kiosks.
Hawaii joins Minnesota, Tennessee, and Indiana in enacting similar bans.

Sources

T1
Hawaii crypto ATM ban to take effect on Oct. 1Hawaii will join Minnesota, Tennessee and Indiana in becoming the fourth US state to completely ban the use of cryptocurrency ATMs and kiosks in response to scams.Cointelegraph

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