Framingham City Council Bans Crypto ATMs Following $397,000 in Scam Losses

The Framingham City Council in Massachusetts has unanimously approved a ban on cryptocurrency ATMs, responding to alarming reports of residents losing $397,000 to scams associated with these machines since 2023. The decision was made during the council's recent meeting in November, as reported by MetroWest Daily News.

The ban is particularly aimed at safeguarding senior citizens, non-English speakers, and lower-income residents from financial fraud. District 3 Councilor Mary Kate Feeney, who introduced the proposal in October, emphasized the need for protective measures against scams that have affected many in the community. “This is really something to protect our seniors. There are so many scams, and I don’t need to tell you, I think we have all heard the horrible stories,” Feeney stated.

Middlesex District Attorney Marian Ryan also supports the ban, highlighting that her office has dealt with 10 cryptocurrency ATM scam cases in Framingham over the past three years, which resulted in significant financial losses. Ryan noted the challenges in recovering stolen funds, stating, “There’s no way to get access to [the stolen funds], even in those cases where we are able to successfully prosecute who may have been the scammer.”

As part of the ban, local police will inform businesses hosting these ATMs to disconnect them within a specified timeframe. Framingham joins a growing list of 22 other communities in Massachusetts that have implemented similar prohibitions.