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🔥 LATEST: North Dakota Senate passes crypto ATM bill while re-adding a provision that caps daily transactions at $2,000 per user.

A North Dakota bill that places various safeguards on cryptocurrency ATMs, including a daily transaction cap and mandatory fraud warnings, has passed the Senate. On March 18, House Bill 1447 cleared the Senate in a 45-to-1 vote , bringing it a step closer to becoming law. The bill, introduced in January, is designed to curb scams and tighten oversight of crypto ATM operators. If signed into law, the bill would require ATM operators to be licensed as money transmitters and enforce a $2,000 daily transaction limit across their machines. It also mandates fraud warning notices at kiosks and quarterly reports on ATM locations, transaction data, and operator details. As previously reported by crypto.news, the bill originally proposed a $1,000 daily cap, but lawmakers later adjusted the limit to $2,000 for the first five transactions within 30 days. Now, the Senate has simplified it to a straight $2,000 cap per day. Additionally, operators must use blockchain analytics to flag suspicious activity and report potential fraud to authorities. The bill now heads back to the House for approval of these changes before landing on Governor Kelly Armstrong’s desk. As crypto ATM scams become more popular, the bill aims to introduce much-needed safeguards to protect residents from financial losses. During a Jan. 22 hearing, Lisa Kruse, North Dakota’s financial institutions commissioner, noted that locals had filed 103 crypto scam complaints with the FBI in 2023, with reported losses hitting $6.5 million. Meanwhile, House Representative Steve Swiontek, who sponsored the bill, argued that the lack of regulation made crypto ATMs an easy target for crypto scammers. Crypto ATMs are widely available across the US, with nearly 30,000 machines in operation. However, increasing fraud cases have pushed regulators to introduce new laws aimed at cracking down on misuse. Last week, Nebraska Governor Jim Pillen signed a similar bill into law , tightening rules for crypto ATM operators. The Controllable Electronic Record Fraud Prevention Act, part of Legislative Bill 609, introduced new licensing and reporting requirements to curb fraud.

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Nebraska has taken a significant step in regulating Bitcoin ATMs by signing a new law. This move aims to protect users from fraudulent activities and create a safer environment for cryptocurrency transactions. Governor Jim Pillen emphasized that Nebraska is "open for business" in the crypto space and wants to ensure that the state is doing it the right way ¹. The new law, LB609, establishes the "Controllable Electronic Record Fraud Prevention Act" to prevent crypto fraud and protect state residents. The legislation comes after a significant increase in crypto-related complaints in Nebraska. In 2023, the FBI received 239 complaints from Nebraska residents, resulting in losses of over $14.5 million ¹. This law aims to curb such fraudulent activities and provide a secure environment for legitimate crypto businesses to operate. *Key Provisions of the Law:* - *Regulation of Crypto ATMs*: The law establishes guidelines for the operation of crypto ATMs in Nebraska, ensuring that they are not used for fraudulent activities. - *Protection of Users*: The legislation aims to protect users from fraudulent activities, such as phishing scams and unauthorized transactions. - *Oversight and Enforcement*: The law provides for oversight and enforcement mechanisms to ensure that crypto businesses operate within the bounds of the law. *Implications of the Law:* - *Increased Security*: The law is expected to increase security for crypto users in Nebraska, reducing the risk of fraudulent activities. - *Legitimization of Crypto Businesses*: The legislation provides a framework for legitimate crypto businesses to operate in Nebraska, promoting innovation and economic growth. - *Compliance with Federal Regulations*: The law ensures that Nebraska's crypto regulations are aligned with federal regulations, providing a consistent and secure environment for crypto transactions. Overall, Nebraska's new law on Bitcoin ATM regulation is a significant step towards creating a secure and innovative environment for cryptocurrency transactions.