Why a Washington City Council is Banning Bitcoin ATMs
The post Why a Washington City Council is Banning Bitcoin ATMs appeared on BitcoinEthereumNews.com. The City Council of Spokane, Washington, just voted unanimously to ban crypto ATMs. The council claimed that virtual currency kiosks are used as a massive vehicle for scams. This legislation is part of a worldwide phenomenon, with many local jurisdictions banning crypto ATMs. Spokane’s law enforcement officials will monitor the ban’s impact to determine if it actually reduces crypto crime. Why is Spokane Banning Crypto ATMs? Crypto ATMs and other virtual currency kiosks are an interesting component of the Web3 ecosystem, providing users a convenient physical location to access DeFi. However, they’re also a well-known vehicle for scams, targeting user funds and stealing their data. For this reason, Spokane is banning all crypto ATMs outright: “This ordinance will protect vulnerable Spokane residents from scams involving virtual currency kiosks, and I am proud we are the first city in the state to move this legislation forward. These kiosks have become a preferred tool for scammers looking to defraud unsuspecting victims,” claimed Council Member Paul Dillon. The City Council made a few claims to justify Spokane’s crackdown on crypto ATMs. It referred to a “consistent rise in victims” losing thousands of dollars but didn’t provide more concrete numbers. Apparently, the FBI believes that scammers used crypto kiosks to steal nearly $142 million from Washington state residents. However, this figure was from 2023. It’s not clear how much of this activity was specific to Spokane, or how these numbers have changed since then. Still, Spokane is the state’s second-largest city, so it must account for a large portion of these losses. Global Bitcoin ATM Growth. Source: Finbold Whether or not Spokane is justified in cracking down on crypto ATMs, it’s part of a worldwide phenomenon. Three months ago, local regulators in four countries passed measures against these kiosks in quick succession. Since then,…
The post Why a Washington City Council is Banning Bitcoin ATMs appeared on BitcoinEthereumNews.com.
The City Council of Spokane, Washington, just voted unanimously to ban crypto ATMs. The council claimed that virtual currency kiosks are used as a massive vehicle for scams. This legislation is part of a worldwide phenomenon, with many local jurisdictions banning crypto ATMs. Spokane’s law enforcement officials will monitor the ban’s impact to determine if it actually reduces crypto crime. Why is Spokane Banning Crypto ATMs? Crypto ATMs and other virtual currency kiosks are an interesting component of the Web3 ecosystem, providing users a convenient physical location to access DeFi. However, they’re also a well-known vehicle for scams, targeting user funds and stealing their data. For this reason, Spokane is banning all crypto ATMs outright: “This ordinance will protect vulnerable Spokane residents from scams involving virtual currency kiosks, and I am proud we are the first city in the state to move this legislation forward. These kiosks have become a preferred tool for scammers looking to defraud unsuspecting victims,” claimed Council Member Paul Dillon. The City Council made a few claims to justify Spokane’s crackdown on crypto ATMs. It referred to a “consistent rise in victims” losing thousands of dollars but didn’t provide more concrete numbers. Apparently, the FBI believes that scammers used crypto kiosks to steal nearly $142 million from Washington state residents. However, this figure was from 2023. It’s not clear how much of this activity was specific to Spokane, or how these numbers have changed since then. Still, Spokane is the state’s second-largest city, so it must account for a large portion of these losses. Global Bitcoin ATM Growth. Source: Finbold Whether or not Spokane is justified in cracking down on crypto ATMs, it’s part of a worldwide phenomenon. Three months ago, local regulators in four countries passed measures against these kiosks in quick succession. Since then,…
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