In a surprising turn of events, the total number of active ATM’s in USA a seen a decreased ever since the new Crypto ATM fraud prevention bill has been proposed.
According to official data, days after a senator proposed the Crypto ATM Fraud Prevention Act to prevent crypto ATM fraud, more than 1,200 cryptocurrency ATMs in the US inexplicably went offline over the first weekend of March.
The number looks worry some for many investors who are now wondering if their funds are actually safe while operating a crypto ATM.
Crypto ATM Fraud Prevention Bill: What is It About?
Citing a recent instance involving one of his constituents, Illinois Senator Dick Durbin on February 25, 2025 introduced legislation to tackle fraud at crypto ATMs in the United States. In the same month that 860 new cryptocurrency ATMs were set up in the US, he made his proposal.
Nevertheless, the global Bitcoin network experienced a net decrease of 1,100 machines in the first three days of March, with 1,233 of those losses occurring in the US.
According to Coin ATM Radar data, new installations in Europe, Canada, Spain, Poland, Australia, and Switzerland somewhat offset the closures.
Why is The Bill Necessary?
The increased use of cryptocurrencies has led to scammers focusing more on crypto ATMs to take advantage of unwary consumers. Stricter rules for cryptocurrency ATMs are intended to be implemented by the bill, which would improve security measures and shield customers from fraud.
Important clauses could include confirming users’ identities before to transactions, monitoring questionable activity, and issuing unambiguous alerts about possible scams.
In response to the increasing number of fraud instances involving cryptocurrency, particularly those involving unregulated crypto ATM networks, this legislation was passed to protect investor funds from being stolen.
Through the implementation of these regulations, the bill seeks to improve openness, safeguard consumers, and stop illicit activity in the quickly expanding cryptocurrency market.
US Previous Crypto ATM Rise
The number of ATMs that have now been closed portrays a particularly dark scenario given that US had the most significant increase in crypto ATM installation across the globe. The number of cryptocurrency ATMs in the United States had increased significantly, to over 30,000 machines previously.
These ATMs let users use cash or debit cards to buy and sell cryptocurrencies like Ethereum, Bitcoin, and others. The increase in cryptocurrency ATMs is a reflection of the increasing acceptance of digital currencies by the general public as well as the demand for easily navigable platforms for both novice and seasoned cryptocurrency users.
Also Read: Bitcoin Adoption Set To Surge as Costco Introduces Crypto ATMs in Stores Across America For BTC Sale