Security

Tennessee lawmakers pass crypto ATM ban, awaiting governor's signature

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April 14, 2026

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Tennessee lawmakers have passed a ban on crypto ATMs, making it a class A misdemeanor to operate one in the state. It now awaits a signature from Gov. Bill Lee, according to a report by WKRN.

If signed, the law will come into effect on July 1, making Tennessee the second state to ban crypto ATMs, afterIndiana. Like Indiana, Tennessee is pushing this bill to prevent scams, as it saw $142 million in losses from cryptocurrency scams in 2025.

"Crypto ATMs are very often used in scams, especially ones that target seniors in our state. These ATMs allow fast, hard-to-trace transfers on money," Rep. Jay Reedy said during a House committee hearing.

Class A misdemeanors in Tennessee can lead to fines of up to $2,500 and up to 11 months and 29 days of jail time, according to MCC Bristol. They include charges such as theft of less than $1,000 and domestic assault.