Digital Banking

Coinme to cease operations of bitcoin ATMs

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October 23, 2026

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Coinme, a crypto ATM operator based in Seattle with more than 6,000 bitcoin ATMs in the U.S., plans to cease operations in Oregon, Washington D.C., Puerto Rico and 31 other states. This comes due to multiple issues raised regarding its business practices, according to areport by Oregonlive.

Coinme allows customers to purchase bitcoin with cash at participating Coinstar locations, and other participating ATMs and kiosks. The company made a $2.5 million settlement with financial regulators. The agreement follows investigations into Coinme's business practices between March 2023 and March 2025. Regulators found that the company failed to maintain adequate identity verification, transaction tracking, and suspicious activity reporting, leaving its kiosks vulnerable to money laundering and illicit financial movement. Additionally, Washington regulators accused Coinme of improperly counting over $8 million from unredeemed crypto vouchers as revenue. Coinme disputed the allegations and admitted no wrongdoing in the settlement.

Coinme must stop operating its kiosks by Jan. 1, 2027, or face an additional $4 million penalty. Oregon will receive $101,425 from the fine. Coinme currently lists 135 bitcoin-enabled kiosks across Oregon, primarily inside Safeway and Albertsons stores via a partnership with Coinstar.

While Coinstar's standard coin-counting services remain unaffected, it is unclear if another crypto vendor will take over the bitcoin functionality at those locations. The settlement does not affect Coinme's other digital currency services, and the company was recently acquired by Cayman Islands-based Polygon Labs.