Thursday, September 11

Evansville passes new ordinance to regulate Bitcoin ATMs amid rising scam losses

EVANSVILLE, IN – The Evansville City Council has approved a new ordinance aimed at curbing a surge in scams involving Bitcoin ATMs, also known as virtual currency kiosks, after local victims reported more than $400,000 in losses over the past year.

According to a September 11, 2025, announcement by the Evansville Police Department, the EPD Financial Crimes Unit collaborated with City Councilor Mary Allen and the AARP to draft the new rule, which will become law once signed by the mayor. The ordinance, codified as Evansville Municipal Code – Chapter 8.45, targets scam activity exploiting the anonymity and speed of Bitcoin ATM transactions.

There are currently about 70 Bitcoin ATMs in Evansville, many located in gas stations and retail stores. These kiosks have been used by scammers to trick victims into quickly and anonymously transferring large sums of money, often without the victims realizing they’ve been scammed. The average loss per victim is approximately $13,000. These machines also charge high fees, ranging from 10% to 50%.

To address these concerns, the new ordinance mandates that kiosk operators:

  • Display warning signage about scams on all machines
  • Provide a physical receipt for each transaction
  • Maintain a visible customer service phone number
  • Maintain a direct communication line for law enforcement

Violations of the ordinance carry fines ranging from $100 to $500.

The Evansville Police Department noted that similar laws have been adopted in other cities to combat the growing use of virtual currency in scam operations. Anyone who believes they are a victim of a scam is urged to contact the Evansville Police Department at 812-436-7956 or dial 911.

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