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Gov. Josh Stein signed North Carolina’s crypto ATM consumer protection law this week, capping kiosk transaction fees at 12%, down from the 20% to 30% many operators currently charge, and requiring fraud warnings, transaction limits, and 30-day refunds for scam victims.
The bill was one of 17 Stein signed in Raleigh this week, following state estimates that North Carolinians have lost more than $12 million to cryptocurrency kiosk fraud.
The new crypto ATM law, enacted through House Bill 920, establishes one of North Carolina’s most comprehensive regulatory frameworks for cryptocurrency kiosks.
Crypto ATMs machines that allow users to exchange cash for digital assets such as Bitcoin and Ethereum will now be required to display scam warnings, impose daily transaction limits, and provide live customer support.
The legislation also caps crypto ATM service fees at 12% of a transaction’s value. According to lawmakers, many operators currently charge between 20% and 30%, making transactions significantly more expensive for consumers.
In addition, operators must issue refunds for up to 30 days to users who were deceived into sending money through scams. Customers will also receive printed receipts and retain the ability to cancel a transaction while it is still in progress.
Gov. Josh Stein said the new rules are designed to ensure state regulations keep pace with rapidly evolving financial technology while addressing growing consumer risks.
“This bill protects people from fraud when they use virtual currency kiosks, requiring the machines to be licensed and regulated under state law, placing limits on daily transactions, and providing scam alert signs, live customer service, receipts for transactions, and the ability to cancel a transaction that’s still in progress.” — Josh Stein, Governor of North Carolina
According to the governor’s office, residents have lost more than $12 million through fraud involving cryptocurrency kiosks, prompting lawmakers to strengthen oversight of the crypto ATM industry rather than prohibit the machines altogether.
Several U.S. states have moved to prohibit cryptocurrency kiosks entirely amid rising fraud complaints. North Carolina, however, adopted a different approach.
Instead of banning the technology, lawmakers opted to regulate the crypto ATM market through licensing requirements and consumer protection measures.
The legislation also follows growing scrutiny of the sector. Previously, North Carolina House passes crypto ATM bill unanimously proposed daily transaction caps and mandatory holding periods for first-time users.
Under the new framework, crypto ATM operators must comply with state licensing requirements and consumer protection standards before offering services in North Carolina.
The refund provision represents one of the most notable changes, giving eligible scam victims an opportunity to recover their funds if they report fraudulent transactions within the permitted timeframe.
By combining fee restrictions with enhanced transparency requirements, lawmakers hope the revised rules will reduce financial losses without restricting lawful cryptocurrency transactions.
The crypto ATM legislation was one of 17 bills signed by Gov. Stein during a week that also saw approval of North Carolina’s first comprehensive state budget since 2023.
The $34 billion spending plan was accompanied by several policy changes affecting taxation, transportation, public safety, and state administration.
Among them was Senate Bill 474, which revises the list of counties covered by this year’s property tax revaluation moratorium.
The law removes Buncombe, Harnett, and Scotland counties from the moratorium while adding Chowan and Pamlico counties. It also requires any property revaluation conducted in Buncombe County this year to remain revenue neutral, preventing the county from increasing tax collections through reassessments.
Explaining his decision to sign the earlier property tax legislation, Stein acknowledged concerns surrounding Buncombe County’s financial recovery following Tropical Storm Helene.
“The version sent to my desk does not do that. Instead, it continues to impede Buncombe County’s recovery efforts. Nevertheless, this bill provides legal clarity to local governments adopting new budgets after the statutory deadline, so I have signed it into law.” — Josh Stein, Governor of North Carolina
Lawmakers also approved House Bill 1094, introducing several transportation reforms.
The legislation establishes three legal classifications for electric bicycles and permits their use on roads, bicycle lanes, and shared-use paths, while allowing municipalities to regulate their operation within city limits.
It also requires riders under the age of 18 to wear helmets when using the fastest category of e-bikes, which can travel at speeds of up to 28 miles per hour.
Additionally, drivers will now be permitted to renew their licenses at any point during the eight-year renewal cycle instead of waiting until the final six months before expiration.
Gov. Stein said the transportation reforms are intended to simplify services for residents and improve government efficiency.
“This bill makes the DMV more efficient and gives drivers a smoother experience. It helps more people avoid a trip to renew their IDs and makes crash reports easier to access online so that people can get the information and resources they need when they need them.” — Josh Stein, Governor of North Carolina
While the transportation and property tax measures introduce notable policy changes, the new crypto ATM framework is expected to draw particular attention from the digital asset industry. By imposing licensing requirements, limiting fees, introducing scam warnings, and requiring refunds for eligible fraud victims, North Carolina has opted for tighter oversight instead of prohibition.
The approach reflects a growing trend among U.S. policymakers seeking to balance innovation with consumer protection as cryptocurrency adoption continues to expand.
Source: NC Newsline
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