Governor of Nebraska Jim Pillen has signed a law aimed at reducing cases of crypto fraud. The new initiative provides protection for users of crypto ATMs and kiosks.
Legislative Initiative
On March 12, Nebraska Governor Jim Pillen signed a law aimed at protecting against crypto fraud. The legislation establishes the 'Controllable Electronic Record Fraud Prevention Act' to counteract crimes in this sector.
Key Provisions of the Law
The bill LB 609, introduced by Senator Eliot Bostar, requires crypto ATM and kiosk operators to be licensed under Nebraska’s Money Transmitters Act and registered and approved by the Department of Banking and Finance. Transaction limits are set: $2,000 per day for new users and $5,000 per day for existing customers. Operators are required to provide quarterly reports and appoint a compliance officer to enforce fraud prevention measures.
Context and Impact
According to the Federal Trade Commission, victims lost over $65 million to crypto ATM fraud in the first half of 2024 alone. The US continues to take steps to combat such crimes, and Nebraska's new law is one example of this effort.
The new law in Nebraska sets a precedent for enhanced security in the use of crypto assets, marking an important step in the development of this industry. Such measures indicate the authorities’ commitment to protecting citizens from fraud.
