The Haverhill City Council in Massachusetts is reviewing an ordinance that would ban the installation of "crypto ATMs" in the city.

On March 31, local time, blockchain outlet Cointelegraph reported that the proposal would revise city ordinances to ban the installation and operation of crypto ATMs. The council unanimously voted 11-0 at a March 17 meeting to put the ordinance proposal into the review process, it reported.

If passed, all crypto kiosks and ATMs in Haverhill must be removed within 60 days, and those that miss the deadline will face a fine of $300 per day.

Haverhill cited potential harm to residents as the reason for the proposed ban. The ordinance draft said crypto ATMs could cause "financial fraud, money laundering, and lack of recourse" for ATM users. It also said state and federal regulation is not sufficient and that local governments need to step in first.

The issue also hinges on the fact that the move is not unique to Haverhill. Several local governments across the United States have pursued bans or restrictions, citing concerns over fraud and illegal activity tied to crypto ATMs. In February, a Minnesota state lawmaker introduced a bill that would allow a ban on crypto kiosks, described as an extension of a state law that placed restrictions on related ATM operators in 2024.

The number of machines installed around Haverhill is also part of the debate. Reports citing CoinATMRadar and crypto ATM operator Bitcoin Depot said there could be at least 8 machines in the area. Barrett's office did not separately respond to questions seeking additional comment on the ordinance proposal, the report said.

From the industry's perspective, the ordinance discussion could also increase pressure on major operators. Bitcoin Depot is considered one of the largest crypto ATM operators in the United States, but its Nasdaq-listed shares (BTM) have been falling since 2025 and have dropped more than 90 percent over the past six months. Its share price was introduced as $2.06 as of March 31.

Regulatory and legal risks have also piled up. Bitcoin Depot received a temporary cease-and-desist order from Connecticut banking regulators in March, which was reported to have effectively suspended its money-transmitter licence. It was also mentioned that authorities in Iowa and Massachusetts filed lawsuits against the company, saying it "encouraged crypto fraud."

There was also a management change. Bitcoin Depot said Chief Executive Scott Buchanan (스콧 뷰캐넌) resigned less than three months into the job, and that Alex Holmes (알렉스 홈스), a board member and former MoneyGram CEO, took the roles of CEO and board chair.