U.S. Federal Court Rejects Emergency Challenge, Tennessee's Crypto ATM Ban Takes Effect

Odaily reports that a U.S. federal court has refused to pause Tennessee's cryptocurrency ATM ban before its effective date of July 1. Public Chapter 766 remains enforceable while the constitutional lawsuit filed by CoinFlip and Private IT Corporation is ongoing. The law classifies the intentional installation, permitting, placement, or operation of virtual currency kiosks in Tennessee as a Class A misdemeanor. Tennessee Attorney General Jonathan Skrmetti stated that cryptocurrency ATMs are tools used by scammers targeting vulnerable Tennessee residents and are rarely used for near-legitimate purposes. CoinFlip operates over 5,500 Bitcoin ATMs across 48 U.S. states and multiple countries. Private IT Corporation, a smaller operator, joined the lawsuit after the Tennessee ban threatened its local business.