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Key Takeaways
- Delaware’s HB 441 would ban the installation, ownership, and operation of all cryptocurrency kiosks statewide, requiring full physical removal within 90 days of enactment.
- FBI data cited in the bill recorded more than 13,400 complaints and $388 million in losses tied to crypto kiosks in 2025, a 58% increase in losses over the prior year.
- The bill has passed the House and heads to the Senate with support from the Delaware DOJ, State Police, AARP, the Bankers Association, and the Bank Commissioner.
Delaware lawmakers voted Tuesday to advance House Bill 441, legislation that would impose a total ban on the installation, ownership, and operation of cryptocurrency kiosks within the state. Sponsored by Representative Cyndie Romer and Senator Spiros Mantzavinos, the bill cites a surge in scams involving the machines and would require all existing units to go offline immediately upon enactment, with full physical removal mandated within 90 days.
FBI Data Shows 13,400 Complaints and $388 Million in Losses Tied to Crypto Kiosks in 2025
The bill’s sponsors pointed to federal and state-level crime data to justify the outright ban. The FBI’s Internet Crime Complaint Center received more than 13,400 complaints involving cryptocurrency kiosks in 2025, with associated losses exceeding $388 million, representing a 23% increase in complaints and a 58% increase in losses compared to 2024, according to the FBI’s Internet Crime Complaint Center.
In Delaware specifically, 181 complaints involved cryptocurrency and 255 involved cryptocurrency wallets in 2025, with combined losses of $26,893,098. More than half of those Delaware complaints involved individuals over the age of 50.
Romer and Jennings Argue Kiosks Serve Scammers, Not Legitimate Traders
Romer, who chairs the House Technology and Telecommunications Committee, said the machines reduce digital currency to a predatory cash grab, noting that regular crypto traders generally avoid kiosks due to fees that can reach 20% of transaction value, according to Romer, compared to 0.4% to 1% on online exchanges.
Delaware Attorney General Kathy Jennings described the kiosks as tailor-made to defraud consumers, adding that funds sent through the machines are typically unrecoverable.
“These kiosks are obsolete for legitimate investors and ripe for abuse against everyone else,” Jennings said. “They have no place in our state.”
AARP Delaware State Director Lucretia Young also backed the bill, saying older Delawareans are disproportionately targeted through the machines and that losses are typically unrecoverable.
HB 441 Closes Workarounds and Treats Violations as Unlawful Trade Practices
To prevent circumvention of the ban, HB 441 also bars any workaround that replicates a kiosk’s function, including retail point-of-sale systems and cashier-assisted transactions used to exchange cash for cryptocurrency.
Violations would be treated as unlawful practices under Delaware’s consumer protection laws. Any operator collecting fees from illegal transactions would be required to fully refund the victim within 30 days or forfeit the funds to Delaware’s Consumer Protection Fund.
David J. Mench, Director of Government Affairs for the Delaware Bankers Association, said the ban is not a rejection of cryptocurrency but a necessary step to protect the public from channels disproportionately used for criminal activity.
Bill Heads to Senate With Backing From Law Enforcement and Financial Regulators
HB 441 has the support of the Delaware Department of Justice, Delaware State Police, AARP Delaware, the Delaware Bankers Association, and the Delaware Bank Commissioner. Senator Mantzavinos, the bill’s Senate sponsor, described the ban as a responsible measure given that crypto ATMs have been used to target consumers who may not fully understand the technology.
Since 2023, thirty states have enacted legislation related to crypto kiosk regulation, according to [source]. Delaware would join Tennessee, Indiana, and Minnesota among states pursuing outright statewide bans. The bill now heads to the Senate for consideration.
