Nebraska enacts stricter rules for crypto ATMs to curb fraud

A bill tightening the surveillance of automatic distributors of cryptocurrency tickets to limit fraud was signed in Nebraska.

According to a March 12 press release of the governor of Nebraska, Jim Pillen, the new law, called the Controllable electronic record prevention lawIntroduces more stringent requirements on licenses and reports for ATM Crypto operators.

It was presented as part of Bill 609 legislative, presented by Senator Eliot Bostar on January 22.

Companies that run automatic Crypto ticket distributors must now be authorized under the Nebraska silver issuing law and obtain the approval of the Banks and State Finance Department before setting up machines.

In addition, legislation also requires daily transaction limits. In particular, new users can only send up to $ 2,000 per day, while existing customers have a ceiling of $ 5,000. The costs are also regulated, with a maximum of 18% per transaction.

To combat fraud, the bill obliges ATM operators to display clear warnings on common scams and to employ a compliance agent to enforce the anti-fraud measures.

New customers who declare fraud within 90 days are eligible for complete reimbursements, including costs, while existing users can obtain reimbursed costs for fraudulent transactions.

Commenting on development, Pillen described this decision as part of the wider effort of Nebraska to support the cryptography industry by placing “railings to prevent criminals from taking advantage of the Nebraskans”.

Officials have stressed that consumer transparency and protection remain important for the state.

According to the director of Nebraska Department of Banking, Kelly Lammers, the state is “open to business in the cryptocurrency space”, but this is accompanied by a responsibility to ensure a fair and secure environment.

Those who use automatic crypto ticket distributors to operate the Nebraskans will face a more in-depth examination, he added.

To apply these new measures, Nebraska sets up a dedicated team to take a closer look at the cryptographic ATM activity. Lammers has suggested that this unit will focus on monitoring fraudulent transactions and the guarantee of compliance with new regulations.

Similar concerns have prompted several states, including Illinois, North Dakotaand Arizona, to impose restrictions under the name of Cryptographic ATM fraud case Continue to increase.

Last month, Illinois Senator Dick Durbin presented The Crypto ATM Fraud Prevention Act, which aims to impose transaction limits and strengthen consumer protections.

On February 8, the representative of Arizona, David Marshall, presented House Bill 2387Offering similar restrictions and license requirements for kiosk operators.