Security

Tennessee governor signs crypto ATM ban

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April 27, 2026

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Tennessee Gov. Bill Lee officially signed House Bill 2505 into law, banning crypto ATMs. It was codified on April 23rd and will be in effect on July 1st, according to a report by The Block Co.

"It is an offense for a virtual currency kiosk operator or other person to knowingly install or allow installation of, permit, place or otherwise operate a virtual currency kiosk in this state. A violation of subsection (a) is a Class A misdemeanor," the bill reads.

Class A misdemeanors hold a massive sentence of up to one year in prison and a $2,500 fine. The bill previously passed both the House and Senate unanimously. The goal of this bill is to combat the rising trend of crypto ATM fraud.

It joins Indiana as the second state to ban crypto ATMs. Other states, like Minnesota, are considering a ban, while others are passing laws regulating crypto ATMs to prevent scams.