LAS VEGAS (KSNV) — Nevada has hundreds of cryptocurrency ATMs, with the majority in Clark County, but a public listing of the machines and state data shows a discrepancy in the number in operation.
News 3 is pressing for answers as law enforcement investigates a rise in scams involving these machines.
The state’s Financial Institutions Division (FID) confirmed with News 3 that crypto ATM operators in Nevada are licensed under the state’s money transmitter statutes and are not in a separate cryptocurrency category for licensing.
Crypto kiosks, also known as cryptocurrency ATMs, allow users to buy or sell digital currency with cash. Federal and state agencies, including the FBI and FTC, have warned that scammers are increasingly using these machines to trick victims into transferring money under pretenses, such as pretending to be law enforcement or government officials.
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A FID spokesperson said the first company licensed to operate crypto kiosks in Nevada was on Jan. 22, 2021.
Before that date, officials did not confirm whether any machines were operating illegally, but said all current operators must be licensed as money transmitters to legally conduct transactions involving cryptocurrency.
CoinATMRadar, an independent industry tracker, lists nearly 500 machines across Nevada despite FID records showing only 428 officially registered kiosks in the state, with 349 in Clark County.
The website shows the cities where users can access a kiosk and the number available.
- Carson City: 3
- Dayton: 1
- Elko: 4
- Ely: 1
- Las Vegas: 424
- Reno: 62
- Winnemucca: 1
The website data highlighted a potential discrepancy between public listings and the number of state-licensed units.
FID said it does not maintain a breakdown of how many kiosks each company licensed with the state operates.
Nevada lawmakers, including State Sen. Rochelle Nguyen (D-Las Vegas), said the rapid pace of technology can make it challenging for lawmakers.
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“These new forms of crimes and fraud and technology are popping up so much faster than our rules can keep up with, and it’s keeping us on our toes for sure,” Nguyen said.
Regarding consumer protections, a FID spokesperson said Nevada does not require warning labels or scam advisories on the machines, though many operators choose to display their own warnings voluntarily.
News 3 is confirming that various kiosks looked at for the story feature either a warning label on the machine or a disclaimer to users before continuing with the transaction.
FID also clarified that it may only take enforcement action against a licensee if there is a violation of state or federal law within its jurisdiction.
The division noted it does not have the authority to pursue criminal cases involving fraudsters who exploit the machines to scam victims.
