Tennessee Cracks Down on Cryptocurrency ATMs Amid Growing Scam Concerns

The Tennessee Attorney General's Office has announced that cryptocurrency ATMs will no longer be allowed to operate within the state. This decision comes after an attempt by two crypto companies, GPD Holdings and Private IT Corporation, failed to block a new law from taking effect.

The new law, which was sponsored by House Speaker Cameron Sexton and Senator Jack Johnson, makes it a Class A misdemeanor to knowingly install or operate a virtual currency kiosk in Tennessee. This legislation was signed into law by Governor Bill Lee and aims to combat the growing problem of cryptocurrency scams targeting Tennesseans.

The use of crypto ATMs has been linked to numerous scams, with victims nationwide losing millions of dollars. In fact, the Murfreesboro Police Department reported nearly $4 million lost in crypto scams using these machines. AARP Tennessee State President Gerre Currie commended Governor Lee and the bill sponsors for their efforts, stating that this law is a 'great step forward' to protect older Tennesseans from these types of scams.