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According to a report by The Block, Crypto News, the U.S. state of Tennessee has passed legislation to comprehensively ban the installation and operation of crypto ATMs, becoming the second U.S. state—after Indiana—to implement a statewide ban. The bill was signed on April 13, 2026, and will take effect on July 1. Violations will be treated as a misdemeanor, carrying a maximum penalty of up to one year in prison and a $2,500 fine, and liability will apply to both the equipment operators and the venue providers. This move mainly targets the risk that crypto ATMs may be used for scam activities.