Maine reaches agreement to recover $1.9M lost in Bitcoin kiosk scams
The state office that oversees consumer finance protection has come to an agreement with a cryptocurrency operator that will help recover nearly $2 million that was scammed from Mainers.
On Monday, the Bureau of Consumer Credit Protection announced in a news release that it entered into a consent agreement with Bitcoin Depot, which operates Bitcoin kiosks, to recover $1.9 million that third-party scammers defrauded from Mainers through those kiosks.
Additionally, Bitcoin Depot will fully comply with Maine consumer protection laws to operate as a money transmitter in the state as part of the agreement.
This agreement comes after Gov. Janet Mills signed emergency legislation last June that limits daily transmission amounts and caps fees and exchange rates at virtual currency kiosks. The legislation also provides redress for consumers.
In addition, Mills has signed other legislation to protect Maine consumers from third-party scammers, including the Maine Money Transmission Modernization Act in 2024.
Linda Conti, superintendent of the credit protection bureau, credited Maine’s new consumer protection laws for allowing the state to reach the agreement with Bitcoin Depot and recoup those losses. She specifically mentioned the “unhosted wallet provision under Maine law, which requires money transmitters to employ new technologies to ensure that Maine consumers own and control their virtual wallets.”
Maine residents who lost money at a Bitcoin Depot kiosk in Maine through a scam can submit a claim on the state’s website. Consumers can also call the bureau at 207-624-8527 with questions.
This story was first published by Maine Morning Star and is republished here under Creative Commons license CC BY-NC-ND 4.0.
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