Haverhill, Massachusetts, is moving toward a citywide ban that would force all crypto ATMs and kiosks out within 60 days, with operators facing $300 daily fines if they do not comply. The proposal also gives the city a hard line on a problem officials say has already led to fraud complaints, money laundering concerns, and little practical recourse for users who lose money. Council Vote Puts Ban On Track The ordinance was introduced on March 17 by Mayor Melinda E. Barrett and cleared an initial City Council vote 11-0, putting it on the council’s agenda for further review. According to the city’s agenda, the measure would amend local code to prohibit cryptocurrency ATMs altogether. City officials said they see the lack of state and federal rules as a reason for local action. The move places Haverhill in a growing group of US communities taking aim at crypto kiosks after reports of scams and other illegal activity. In Minnesota, a lawmaker introduced a bill in February that could ban crypto kiosks, building on a 2024 law that already imposed limits on ATM operators. Haverhill’s proposal does not stand alone; it fits a pattern that has been spreading city by city and state by state. Crypto ATMs are often marketed as a simple way to buy digital assets, but local officials have increasingly treated them as a weak point in consumer protection. In Haverhill’s case, the city said users may have little ability to recover funds once a transaction is complete. That concern was central to the proposed ordinance, which framed the machines as a risk to residents rather than a convenience for them. Bitcoin Depot Faces Rising Pressure The proposed ban also lands at a rough time for Bitcoin Depot, one of the largest crypto ATM operators in the US. The company’s stock has fallen more than 90% over the past six months and was trading at $2.06 on Nasdaq on Tuesday, according to the report. Haverhill-area data from CoinATMRadar and Bitcoin Depot pointed to eight or more machines in the local area. Bitcoin Depot has been dealing with pressure on several fronts. Connecticut banking regulators issued a temporary cease-and-desist order in March, which effectively suspended its money transmission license. Authorities in Iowa and Massachusetts have also sued the company, accusing it of helping facilitate crypto scams. Featured image from Unsplash, chart from TradingView
