Crypto ATM laws in Tennessee: a guide for operators (2026)
Tennessee has banned crypto ATMs since July 1, 2026. Operating or hosting one is a Class A misdemeanor, and a federal court refused to block the ban.
Kiosks banned · Last checked
Licensing in Tennessee
Money transmission is licensed by TDFI under Tennessee's MTMA. TDFI's kiosk bulletin is addressed to 'MTMA Licensees and Persons Applying to TDFI to Operate Virtual Currency Kiosks'. Since 2026-07-01, kiosks are banned outright, so no license allows operating one.
Regulator: Tennessee Department of Financial Institutions (TDFI) · License: Banned
Sources: TDFI Bulletin C-26-1, 2026-06-04
Tennessee's kiosk law
Public Chapter 766 (2026) · effective 2026-07-01
- It is a Class A misdemeanor to knowingly install or allow installation of, permit, place or otherwise operate a virtual currency kiosk anywhere in Tennessee. The maximum penalty is 11 months 29 days in jail and a $2,500 fine.
- The ban reaches host businesses as well as operators: 'operator' includes anyone who knowingly allows a kiosk on property they own, lease or control (per Orrick's summary of the bill).
- TDFI told licensees running kiosks to notify it by 2026-06-18 of their plans to stop kiosk activity, and said MTMA licensees also face licensing enforcement for violations.
- Signed by Gov. Bill Lee on 2026-04-13 after passing both chambers unanimously (secondary).
Sources: TN General Assembly subject index: HB2505/SB2251, Pub. Ch. 766 · TN General Assembly effective-date report, July 2026 · TDFI: Virtual Currency Kiosks page · TDFI Bulletin C-26-1 · Murfreesboro PD news flash, 2026-07-24 (penalty details) · Orrick InfoBytes 2026-04-16 (secondary) · The Block (signed 2026-04-13, unanimous) (secondary)
Bills and changes to watch
- CoinFlip (GPD Holdings LLC) and Private IT Corporation sued in federal court to invalidate Pub. Ch. 766. Their request for a temporary restraining order was denied before 2026-07-07, and the constitutional (dormant commerce clause) claims continue.
Local rules
- Murfreesboro police identified about 30 businesses with Bitcoin ATMs and are visiting them to enforce the state ban (2026-07-24).
Enforcement and lawsuits
- The TN AG defended the ban against CoinFlip's lawsuit and won denial of a TRO (announced 2026-07-07).
Practical hurdles
- Operating, or hosting, a kiosk is now a crime in Tennessee. Local police are doing compliance visits to host stores.
Sources: TN AG press release 26-26, 2026-07-07 · Murfreesboro PD news flash
What we couldn't confirm
- The federal district and docket number of the CoinFlip case, and whether a preliminary injunction motion is still pending.
- Whether TDFI licensing goes through NMLS (not checked).
Run machines in Tennessee? Put them on Bitcoin Scouts
Bitcoin Scouts is the crypto ATM map that shows which machines are working right now. It's built by the team behind QuickieCoin, a bitcoin ATM operator in New Jersey, so we wrote this guide the way we wish someone had written it for us.
- Claim your listings, free. Verify your company, fix addresses and hours, add photos, and send live status so customers stop driving to dead machines. Claiming and editing are always free. Claim your machines
- Compliance calendar, included. Tell us your states and get FinCEN, NMLS and state kiosk deadlines in one list, with a calendar feed for Google or Outlook and email reminders, each item linked to the rule it came from. Open the calendar
- Pro, $4 per machine a month. Live fees by API, 13 months of analytics, replies to reviews, and uptime watch with fast down alerts. New operators get Pro free for 90 days when their claim is approved.
- Promoted machines, $15 per machine a month. A clearly labelled spot in nearby searches for machines that are online and post their fee. Promote a machine
- Featured operator, $49 a month. Your brand on your own listings and pins, a rich company page, an offer line, and no competitor ads on your listings. It never changes search rank. Become featured