Hawaii's Cryptocurrency ATM Ban to Take Effect October 1

Hawaii will become the fourth U.S. state to fully ban cryptocurrency kiosks and ATMs after the governor signed the corresponding law.

After the Hawaii House of Representatives passed Bill 1642 in May, Governor Josh Green signed the bill into law in July. It prohibits in the state "owning, operating, or managing a digital financial asset kiosk that accepts United States currency from a customer in exchange for a digital financial asset."

The bill cited data from the Federal Bureau of Investigation's Internet Crime Complaint Center, which reported in April that Americans lost more than $11 billion in 2025 due to digital asset-related fraud. The bureau added that in 2025 it registered 826 complaints from Hawaii residents related to cryptocurrencies. The state's losses from digital asset transactions, including ATMs and kiosks, amounted to about $80 million.

Hawaii's law mirrors the provisions of Minnesota, Tennessee, and Indiana, which began implementing a complete ban on digital asset transaction kiosks in August, July, and March, respectively. Legislative bodies in other U.S. states have proposed bans that, as of August, had not been signed. These include Delaware and New Jersey. South Dakota and Wyoming have passed laws establishing strict restrictions on cryptocurrency ATM activities.

According to CoinATMRadar, there were cryptocurrency ATMs and kiosks operating on Hawaii's four major islands as of Wednesday. On topic: 57

Why Older Users Lose So Much Money to Cryptocurrency ATM Fraud Cryptocurrency ATM operators in Hawaii must cease kiosk operations by October, or face fines and other sanctions. Cryptocurrency ATM owners in Hawaii need to stop operating kiosks by October 1, or they may face fines and other sanctions.