Haverhill officials propose banning crypto ATMs due to fraud risks, following similar actions in other U.S. jurisdictions.
The Haverhill City Council in Massachusetts is scheduled to consider an ordinance banning cryptocurrency ATMs, as proposed by Mayor Melinda E. Barrett and introduced on March 17.
The ordinance aims to address potential risks to residents, including financial fraud, money laundering, and lack of recourse for users, due to the absence of state and federal regulations.
If the ordinance passes, all cryptocurrency kiosks and ATMs in Haverhill must be removed within 60 days, with operators facing a $300 daily fine for non-compliance.
Broader Context of Crypto ATM Regulations
Haverhill's proposal follows actions in other U.S. jurisdictions, such as Minnesota, where lawmakers introduced a bill in February to ban or restrict crypto kiosks amid concerns over scams.
Data from CoinATMRadar and Bitcoin Depot indicates there could be eight or more crypto ATMs in the Haverhill area, highlighting the local presence of these machines.
Bitcoin Depot, a major crypto ATM operator, has faced separate challenges, including a stock decline of over 90% in the past six months and regulatory actions in states like Connecticut, Iowa, and Massachusetts for allegedly facilitating scams.
Last week, Bitcoin Depot announced a leadership change, with Scott Buchanan stepping down as CEO after less than three months, replaced by Alex Holmes, former CEO of MoneyGram.
CoinTelegraph reported reaching out to Mayor Barrett's office and Bitcoin Depot for comments but had not received responses at the time of publication.
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