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Delaware and New Jersey lawmakers have advanced bills that would ban cryptocurrency ATMs statewide, citing fraud losses tied to kiosks that let users turn cash into digital assets.
The measures would add two more East Coast states to a growing state-level push against crypto kiosks after scam complaints involving the machines rose across the U.S. in 2025.
Delaware Bill Requires Removal Within 90 Days
Delaware’s House Bill 441 would ban the installation, ownership and operation of crypto kiosks in the state. The bill would also require existing machines to be removed within 90 days after the measure takes effect.
The bill has moved to the Senate Banking, Business, Insurance & Technology Committee, where it was listed on June 11. It also targets workarounds by banning cashier-assisted or point-of-sale crypto transactions that copy kiosk activity.
Violations would be treated as unlawful practices and prohibited trade practices. The bill allows injunctive relief, civil penalties of up to $10,000 and private damages claims from people harmed by violations.
New Jersey Bill Allows $20,000 Penalties
New Jersey’s Senate Bill 2141 would ban any business entity from owning, controlling, installing, managing, selling or offering to sell a crypto ATM in the state. The bill was reported from the Senate Commerce Committee on June 8 and moved to second reading.
The New Jersey bill would make violations an unlawful practice under the state’s consumer fraud law. Penalties would reach up to $10,000 for a first offense and up to $20,000 for later offenses, with possible cease-and-desist orders, punitive damages and treble damages.
FBI Data Shows $388M in Kiosk Losses
Delaware lawmakers cited FBI data showing more than 13,400 complaints involving crypto kiosks in 2025, with losses above $388 million. That was a 23% rise in complaints and a 58% rise in losses from 2024.
The Delaware House Democrats said the state recorded 181 crypto complaints and 255 crypto wallet complaints in 2025, with combined losses of about $26.9 million. More than half of those complaints involved people over 50.
FTC Data Shows Crypto ATM Losses Rose Tenfold
New Jersey’s bill cites FTC data showing losses tied to crypto ATMs have climbed nearly tenfold since 2020. Those losses reached more than $110 million in 2023 and more than $65 million in the first half of 2024.
Lawmakers argue kiosks are used in scams because cash deposits move quickly and crypto transfers are hard to reverse.
Bills Target Kiosks, Not Crypto Ownership
The bills target the machines, not crypto ownership or exchange trading. If enacted, the measures would narrow the physical crypto cash-in market in two more states.
The next step is whether Delaware’s Senate committee and New Jersey’s full Senate move the bills toward final votes.
