Canada proposes crypto ATM ban over scams and money laundering

Ottawa says Bitcoin ATMs have become a key tool for scammers, as regulators move to tighten oversight of high-risk parts of the crypto sector.

The Canadian government has proposed banning Bitcoin and other crypto ATMs, arguing the machines have become a primary on-ramp for fraudsters and money launderers rather than a convenient access point for everyday users.

The government's Spring Economic Update 2026, published on April 28, says crypto ATMs are a “primary method for scammers to defraud victims and for criminals to place their cash proceeds of crime,” and explicitly states that the government “proposes to ban crypto ATMs.”

The proposal states that Canadians will still be able to buy virtual currencies from brick-and-mortar money services businesses, but the standalone kiosks that have proliferated in malls, gas stations and corner stores would be phased out.

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