Delaware advances bill to ban crypto ATMs statewide

Delaware lawmakers advanced House Bill 441 to prohibit the installation, ownership and operation of all cryptocurrency ATMs in the state. The measure orders existing kiosks to go offline immediately and requires physical removal within 90 days.

The bill was introduced by Representative Cyndie Romer and Senator Spiros Mantzavinos and now moves to the state Senate for consideration.

Under the proposal, operators that collected fees from transactions later deemed illegal would be required to refund affected customers or forfeit those amounts to a state consumer protection fund.

Sponsors cited federal and state complaint data in support of the measure. The FBI’s Internet Crime Complaint Center recorded more than 13,400 kiosk-related complaints in 2025 with reported losses exceeding $388 million. In Delaware, residents filed 181 cryptocurrency-related complaints and 255 wallet complaints last year, with combined losses approaching $26.9 million. More than half of the Delaware complaints came from people older than 50.

Representative Cyndie Romer noted kiosk transaction fees can reach about 20 percent compared with roughly 0.4 percent to 1 percent on many online exchanges. Romer criticized the machines: ‘These kiosks reduce digital currency to a predatory cash grab. There is no reason to support a business structure that enables scammers to extort money from our most vulnerable populations.’

State-level regulation has increased since 2023, with roughly 30 states passing kiosk-related laws in that period. Indiana and Tennessee have enacted full bans. Bitcoin Depot, a major U.S. operator, filed for Chapter 11 in May and took its network offline, citing state bans and mounting litigation. Missouri has sued CoinFlip alleging the operator facilitated fraud. Canada proposed a national ban in its 2026 Spring Economic Update.

If enacted, HB 441 would require kiosks in Delaware to power down immediately and be removed within 90 days, and would assign refund or forfeiture obligations to operators when transactions are linked to illegal activity.

The state Senate will consider the bill in its upcoming session. The sponsor release did not include statements from opponents or industry groups. Lawmakers may consider amendments during Senate review.