Victims scammed at cryptocurrency ATMs in New Hampshire could be reimbursed if they report the fraud within 14 days under a bill that cleared the Senate Thursday. The bipartisan legislation aims to stem an increase in cryptocurrency scams that cost Granite Staters $22 million in 2024.
A crypto scam plays out like most financial fraud, except the scammer persuades the victim to deposit cash into a cryptocurrency ATM. Once the ATM converts the money into cryptocurrency, it becomes very difficult to trace and reclaim.
Hampton’s police chief told lawmakers just over $2.6 million was lost to scammers in his town in 2024. The average age of the victims was 66.
Sen. Virginia Birdsell, a Hampstead Republican, urged colleagues to pass the legislation in the Senate Thursday.
“This is becoming a scourge on our elderly,” she said.
Under the bill, cryptocurrency ATM operators would have to hold a person's first deposit for 48 hours to give them time to cancel it if they detect a scam. Operators could not accept more than $2,000 a day from a person. And operators would have to refund a scam victim if the victim reports fraud to the operator and authorities within 14 days.
Nearly 25 other states have similar laws, though many allow a victim to be funded within 90 days of a deposit.
Massachusetts is suing a crypto ATM operator, Bitcoin Depot, for allegedly allowing criminals to scam victims with its machines. Maine reached a $1.9 million settlement with the same operator this year and is giving victims until Wednesday to file a claim.
The New Hampshire bill heads next to the House.