New Nebraska Law Puts Crypto ATMs Under Stricter Oversight

The new law, known as the Controllable Electronic Record Fraud Prevention Act, was first presented by Senator Eliot Bostar on January 22.

It requires crypto ATM and kiosk operators to be licensed under Nebraska’s Money Transmitters Act and to register with the Department of Banking and Finance. Operators must also submit quarterly reports detailing machine locations, business names, and transaction data to improve oversight.

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Governor Jim Pillen signed the bill into law on March 12, which emphasized the state’s commitment to crypto innovation and consumer protection. He stated in a post on X, "Cryptocurrency is an important, emerging industry, and we’ve been working hard to build Nebraska into a cryptocurrency leader".

The law limits daily transactions to $2,000 for new users and $5,000 for existing customers, while fees cannot exceed 18% of the transaction amount. It also provides fraud protections—new users who report scams within 90 days are eligible for a full refund while existing users can recover fees lost to fraud.

Furthermore, crypto ATM operators must display fraud warnings and appoint a compliance officer to enforce security measures. These changes follow a broader effort to regulate the industry, as Illinois recently saw over 1,200 crypto ATMs shut down after similar legislation was introduced.

Meanwhile, Senator Cynthia Lummis recently reintroduced the BITCOIN Act. How does this version differ from the original? Read the full story.