As reported by Cointelegraph, Bitcoin of America, a cryptocurrency and Bitcoin ATM provider, agreed with the Connecticut department of banking for pausing its operations. It is expected that operations were halted because they did not have any license.
With insights from a release on May 22, 2023, the department of banking mentioned that Bitcoin of America was unable to get a valid license for operating Bitcoin ATM kiosk in the state. Supposedly, the consent order was initiated after about ten thousands of dollars were lost in a fraud that included Kiosks by four Connecticut users, Cointelegraph added.
“As a result of the consent order, Bitcoin of America made restitution to these consumers totaling $86,000. Following a criminal indictment, Bitcoin of America is winding down operations here in Connecticut,” the State explained.
Furthermore, legislations are being initiated by the state legislature for implementing more user protections and rules asking for the licensing of digital currency kiosks asfor transferring money in Connecticut.
(With insights from Cointelegraph)
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