United States Senators are drafting new legislation for digital assets, which could include measures aimed at curbing fraudulent activities at cryptocurrency ATMs.
As the Senate Banking Committee gears up for a vote on proposed legislation concerning digital asset management, a key proponent is calling attention to the rising instances of scams involving Bitcoin
Wyoming Senator Cynthia Lummis stated on X (formerly Twitter) that she and New York Senator Kirsten Gillibrand intend to tackle crypto ATM-related fraud through the forthcoming market structure bill.
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Lummis referenced a report from the Cheyenne Police Department, detailing 50 fraud cases, primarily affecting older individuals. These scams, frequently executed via Bitcoin ATMs, resulted in losses totaling over $645,000.
Currently, no specific federal regulations exist to combat fraud perpetrated through these ATM-like devices.
However, the Federal Bureau of Investigation has reported a growing trend in reported incidents. In the year 2024, the agency received approximately 11,000 complaints regarding scams linked to cryptocurrency ATMs, with total losses exceeding $246 million.
Senator Lummis’s statement precedes the Senate committee’s anticipated vote on the proposed crypto regulatory framework. She expressed hope that the legislation will be enacted into law by 2026.
While the US House of Representatives passed its version of the bill, known as the CLARITY Act, back in July, that specific version does not explicitly address fraud involving cryptocurrency ATMs. It primarily focuses on platforms utilizing automated systems and adhering to standard industry practices.
In other news, several Republican legislators have urged the US Commerce Department to investigate DeepSeek. Learn more about their concerns here.