Virtual currency kiosks to be banned in the state

Beginning Aug. 1, 2026, virtual currency kiosks will be banned in Minnesota.

Virtual currency kiosk operators have until Dec. 31, 2026, to remove kiosks from any location where they are visible or accessible to the public.

With one exception, operators who conduct virtual currency transactions exclusively through a kiosk must pay out any money or virtual currency held for or owed to a new or existing customer by Dec. 31, 2026, in a manner chosen by the customer. The payouts can be in U.S. dollars equal to the market value of the customer’s virtual currency plus any fiat currency or to a virtual currency wallet designated by the customer. If the payout is to a virtual currency wallet designated by the customer, the operator must transfer the full amount to the wallet within 30 days of the date the customer submits the payout request. The payout must be recorded on the applicable blockchain, and the operator must retain proof that a transfer was made.

A virtual currency kiosk operator is not required to make a payout if customers can still access and sell the money or virtual currency in their wallet through some other means.

The law is sponsored by Rep. Erin Koegel (DFL-Spring Lake Park) and Sen. Amanda Hemmingsen-Jaeger (DFL-Woodbury).

HF3642/SF3868*/CH65

SF3868* / HF3642 / CH65