- Hawaii will completely ban cryptocurrency ATMs and kiosks after Governor Josh Green signed new legislation into law.
- Officials pointed to growing crypto scams, with Hawaii residents reporting roughly $80 million in digital asset-related losses during 2025.
- Hawaii joins several other U.S. states taking stronger action against crypto kiosks as fraud concerns continue to rise.
Hawaii is preparing to eliminate cryptocurrency ATMs and kiosks across the state after Governor Josh Green signed legislation introducing a complete prohibition on the machines.
House Bill 1642, approved by Hawaii lawmakers in May and signed into law in July, prohibits the ownership, operation or management of digital asset transaction kiosks that accept U.S. currency in exchange for cryptocurrency.
The decision makes Hawaii one of the latest states to take aggressive action against crypto ATMs, which regulators increasingly view as a channel used by scammers to quickly move victims’ money into digital assets.
Crypto Scams Drive Hawaii’s ATM Ban
The legislation cited FBI data showing Americans lost more than $11 billion to digital asset-related scams during 2025.
Hawaii residents submitted 826 crypto-related complaints during the year, with reported digital asset losses reaching approximately $80 million. Those figures include losses connected to cryptocurrency ATMs and kiosks.
Crypto ATMs have drawn particular scrutiny because transactions can be difficult to reverse once victims send funds. Scammers frequently pressure targets into depositing cash into kiosks and transferring cryptocurrency to wallets controlled by criminals.
More States Target Crypto Kiosks
Hawaii isn’t alone in taking tougher action. Minnesota, Tennessee and Indiana have also moved to enforce total bans on digital asset kiosks, while other states are considering similar restrictions.
Some jurisdictions have taken a less aggressive approach by introducing transaction limits, compliance requirements and other safeguards rather than outright prohibitions.
As of Wednesday, Hawaii had 57 cryptocurrency ATMs and kiosks operating across four of its main islands. Those machines will now face removal as the state’s prohibition takes effect.
The move highlights a growing regulatory divide around crypto ATMs. While some states are attempting to regulate the machines more tightly, Hawaii has decided the consumer-protection risks are significant enough to remove them entirely.
