The Canadian federal government plans to ban cryptocurrency ATMs, citing their role in fraud and money laundering.
In the country's spring economic update released Tuesday, the government said that it is proposing to ban crypto ATMs, describing them as a "primary method for scammers to defraud victims and for criminals to place their cash proceeds of crime."
Despite the proposed ban, Canadians can still buy crypto assets from legitimate brick-and-mortar money services businesses. The government did not elaborate further on the proposal or a timeline in the Tuesday document.
According to data cited by CBC News, Canada is home to roughly 4,000 crypto ATMs — one of the highest concentrations in the world — yet the sector operates without industry-specific regulations.
Beyond Canada, crypto kiosks have come under increasing scrutiny in multiple jurisdictions in recent months.
In March, Indiana enacted a full statewide ban on crypto ATMs. Last week, the Tennessee governor also signed a bill into law banning crypto ATMs, extending liability beyond crypto ATM operators to businesses that host the machines.
Australia has proposed expanding the powers of its anti-money laundering agency to crack down on the illicit use of crypto ATMs, and New Zealand has announced plans to ban them outright.
Scammers have long exploited crypto ATMs for money laundering and fraud. An FBI report shows that U.S. authorities logged 13,460 complaints involving the machines in 2025, with $389 million in losses, a 58% increase in losses from the previous year.
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