Finance13 August, 20262 min read
Hawaii Enforces Cryptocurrency ATM Cash Deposit Ban Starting Oct. 1
This article is an automated aggregation of coverage from news outlets. Our editorials offer in-depth analysis curated by the NewsCord team.
Cash-to-crypto deposits at Hawaii ATMs/kiosks banned starting October 1, 2026. Governor signed House Bill 1642, making Hawaii the fourth state to ban crypto kiosks.
Hawaii bans cash deposits
Hawaii will enforce a law banning cryptocurrency ATMs and kiosks that accept U.S. dollars from customers and convert them into digital assets starting Oct. 1, after Governor Josh Green signed House Bill 1642 in July.
“Cash purchases of crypto at Hawaii kiosks will become illegal on Oct. 1, 2026.”
The law prohibits the “ownership, operation, or management of a digital financial asset transaction kiosk that accepts United States currency from a customer in exchange for a digital financial asset,” and it treats each prohibited transaction as a separate offense under Hawaii’s consumer protection law.
CoinATMRadar data cited in the coverage says 57 cryptocurrency ATMs and kiosks were operating across Hawaii’s four main islands as of Aug. 12.
The restriction is aimed at cash-to-crypto kiosk transactions, and HawaiiNewsNow says consumers will no longer be able to deposit cash into the kiosks to buy cryptocurrency once the Oct. 1 deadline arrives.
FBI losses drive law
The ban is tied to FBI Internet Crime Complaint Center figures, with the coverage stating that the FBI recorded 92 Hawaii kiosk complaints and $3.85 million in adjusted losses among state residents in 2025. HawaiiNewsNow reports that AARP and other consumer advocates pointed to FBI data showing $3.85 million in losses through fraud involving cryptocurrency kiosks in 2025, described as nearly four times the amount reported the previous year.
The Asian-language report says the Hawaii state legislature passed House Bill 1642 in May, and it frames the measure as a response to digital asset scams. Cointelegraph is cited in the coverage as reporting that Hawaii would become the fourth state in the United States to impose a full ban on cryptocurrency ATMs, following Minnesota, Tennessee and Indiana.
What remains allowed
Even with the Oct. 1 enforcement date, the law as described in the coverage allows operators to offer crypto-to-cash and crypto-to-crypto transactions, and it says the definition targets cash deposits used to buy digital assets rather than every service offered by the machines.
“Operators may still offer crypto-to-cash and crypto-to-crypto transactions under the law.”
HawaiiNewsNow adds that consumers with existing accounts can still convert their crypto into cash and make withdrawals, while the state urges the public to stay vigilant until the ban takes effect.
Hawaii Banking Commissioner Dwight Young said the machines have become a favorite tool for criminals because they’re anonymous and hard to trace, warning that “It usually starts with some unsolicited phone call, text message or email,” and that scammers may keep victims on the phone until cash is deposited.
The coverage also says Hawaii residents can report incidents to police and DCCA at 844-808-3222 or cca.hawaii.gov, as the state prepares to remove cash-deposit access to kiosks that accept U.S. currency for digital assets.