Coinme Agrees to Leave Oregon's Coinstar Kiosks Under 34-State Settlement Citing AML Gaps

Coinme Inc. must stop operating crypto kiosks in Oregon and 33 other participating jurisdictions before January 1, 2027, under a multistate Settlement Agreement and Consent Order that also requires it to pay $2.5 million. If it misses that deadline, it owes another $4 million. State examiners found shortcomings in the company's anti-money-laundering controls. Coinme neither admits nor denies those findings.

Paying the fine will not let Coinme keep its kiosks running. The company must leave the kiosk business in those states. Coinme's own directory lists 135 Coinstar crypto-kiosk locations in Oregon, where the service must end. The settlement also requires AML remediation and written state permission before Coinme can resume kiosk operations.

Examiners cited gaps in monitoring, reporting and records

A copy posted by the Georgia Department of Banking and Finance identifies the areas where examiners found Coinme's Bank Secrecy Act and anti-money-laundering program deficient:

Oregon's Department of Consumer and Business Services said regulators found that Coinme did not do enough to prevent money laundering or detect potentially illegal transactions. Those examination findings are not adjudicated violations. The order also states that Coinme has made material improvements to its AML program, but requires an independent review and corrective work on whatever the review finds.

Coinme must engage the consultant within 60 days of the effective date, according to the order text. The consultant's Assessment Report is due within six months of engagement and must cover transaction monitoring, know-your-customer, suspicious-activity reporting, enhanced due diligence and recordkeeping. Any Corrective Action Plan must incorporate the consultant's prioritized measures, win Board or authorized-committee approval, and reach the regulators' Executive Committee within 90 days after the Assessment Report. The plan must be completed within 12 months, with a possible extension at the Executive Committee's discretion. Once Coinme says the work is done, the consultant has 30 days to deliver a Validation Report.

Coinstar owns the machines, but Coinme's service must exit

Coinme does not own the hardware it uses. It runs a voucher-based cash-to-crypto service on Coinstar coin-counting kiosks in supermarkets. Coinstar is an investor in Coinme. The consent order's definitions cover kiosk operations "regardless of the ownership or control of the specific Virtual Currency Kiosk." Coinstar-owned machines are therefore covered as far as Coinme's service on them is concerned.

Only Coinme is bound by the order. It does not name Coinstar or Zero Hash, the provider behind Coinstar's own competing wallet, CINQ by Coinstar. Coinme must end its crypto service at the affected kiosks, but the Coinstar machines themselves do not have to go dark. The research reviewed for this story does not show that Coinme's separate "Coinme Cash" checkout service must stop. Coinme's Oregon directory lists that checkout service at 62 locations, separate from the 135 kiosk listings.

Coinstar has separately posted a notice that CINQ crypto services are being discontinued in both its app and its kiosks. Neither party has said the two developments are connected. Coinstar is not a party to the order, and BitcoinATM.news has not established that the settlement caused Coinstar's decision. Readers should not assume CINQ will replace Coinme on the same machines. Coinme also has a pending lawsuit against Coinstar over CINQ, filed October 9, 2024, in King County Superior Court. No ruling has been reported in that case.

The $4 million penalty would not extend the kiosk deadline

Coinme owes a $2.2 million administrative penalty and $300,000 in administrative costs. According to the Pennsylvania Department of Banking and Securities order, each of those amounts is due within 90 days after Coinme receives payment instructions from each participating state receiving payment. The order provides no consumer restitution and no separately itemized AML fine. The $4 million penalty applies only if Coinme fails to exit before January 1, 2027; if it is incurred, the same order makes it due within 20 days after receipt of payment instructions from the state. Paying it would not authorize the kiosks to keep running. After exiting, Coinme cannot restart kiosk operations in a participating jurisdiction without written permission from that state's regulator.

The exit requirement applies to the 34 participating jurisdictions, not nationwide. Appendix A of the consent order lists them, including Oregon, Pennsylvania, Puerto Rico and the District of Columbia. Coinme advertised more than 6,000 Coinstar kiosk locations in 2026, and the order alone does not show how many sit outside the participating states. Coinme's USA locator advertises 5,060 Coinstar Bitcoin ATM locations nationwide but does not break out a kiosk count for the 34 participating jurisdictions as a group.

Regulators approved the acquisition as Coinme agreed to exit kiosks

The settlement's recitals link resolution of the examination to regulators' intended approval of acquisition notices filed by Polygon Labs Holdings. The exam is resolved, the kiosk business is wound down, and a change of control moves forward. A multistate order effective October 7, 2026 states that regulators in participating states where Coinme is licensed approved the advance change notice filed by Coinme and Polygon Labs Holdings, including notices on changes to Coinme's directors and executive officers. Polygon Labs said it completed its acquisition of Coinme on October 14, 2026. Polygon also reported that its U.S. payments business has coverage across 48 states, with 37 state money-transmitter licenses and 11 applicable exemptions.

Neither company has described how the kiosk exit affects Coinme's business after the acquisition. Coinme said on January 13, 2026, that it served more than 50,000 retail locations and would continue running its regulated exchange, wallet and Crypto-as-a-Service platform after the deal, but that post does not discuss a kiosk shutdown. Polygon's announcement, which said Coinme's regulated U.S. access would be part of Polygon Open Money Stack, likewise does not address the exit. The Washington State Department of Financial Institutions said on October 8, 2026, that Coinme agreed to shut down its crypto kiosks, but its release also does not describe the effect on the post-acquisition business.

The order does not state that the AML findings alone required a kiosk exit, and it does not apply to any other operator. The remedy is specific to Coinme.

State attorneys general in Iowa, Massachusetts, Missouri and the District of Columbia have filed lawsuits or issued civil investigative demands against conventional Bitcoin ATM operators. Most of those actions focus on scam facilitation and fee disclosure rather than BSA program gaps, and the allegations remain largely unresolved. Coinme's order, by contrast, is a final, agreed settlement. Trust grades for operators with open actions are on the operators directory.

Coinme's 135 Oregon listings are outside our kiosk count

According to BitcoinATM.news's location tracker, which combines CoinATMRadar listings with operator feeds, Oregon has 243 active kiosks across 15 operators. Bitstop has the most (59), followed by CoinFlip (55) and RockItCoin (34). That figure excludes Coinme by design. We leave voucher kiosks on shared Coinstar hardware out of our directory because settlement is delayed and the operator does not control the machine. Coinme's absence from these counts reflects our editorial policy, not evidence about its footprint.

Separately, our archive of CoinATMRadar listings shows Oregon at 225 kiosks on January 21, 2026, and 229 on October 23, 2026. The archive shows declines for three operators: RockItCoin went from 44 to 34, Byte Federal from 27 to 21, and Stack from 18 to 14. The listing sync had no updates from March 24 to April 1 and from April 2 to June 12, 2026, so removals during those windows carry the resume date in our log. In the past 30 days, the tracker logged 1 install against 10 removals in Oregon. None of those figures involve Coinme, and none is linked to this order.

We have not verified how many of Coinme's 135 advertised Oregon locations are currently processing transactions, or when each will stop.

Voucher holders can request reimbursement from Coinme

The order provides no restitution fund. Neither Coinme nor Coinstar has publicly said what happens to unredeemed vouchers or customer balances after kiosk service ends, and the multistate announcement from the Conference of State Bank Supervisors does not address it. Coinme's help center says customers seeking reimbursement for unredeemed Coinstar vouchers must submit a request and verify ownership, and that approved checks are mailed to a verified U.S. address within 10 business days after documentation is approved. Its terms of service say customers own the tokens in their hosted wallets and describe turning over certain inactive-account tokens to government authorities as unclaimed property. Customers can take these steps:

• Check Coinme's voucher-redemption terms and ask the company how unredeemed codes will be handled after kiosk service ends.
• Confirm that your Coinme wallet is accessible; the order's year-end deadline applies to kiosk operations.
• Be wary of anyone who tells you to buy crypto at a supermarket kiosk to "protect" your money or pay a bill. Scammers commonly use that instruction.
• Report problems to Oregon's Division of Financial Regulation. Our consumer protection resources explain where to turn if you think you were defrauded.

Before January 1, 2027, Coinme must end kiosk operations in the 34 jurisdictions or owe an additional $4 million. Coinme has not publicly quantified the settlement's effect on its cash flow. It remains unclear how many Coinstar machines still offer Coinme service or what crypto option those machines will offer once Coinme and CINQ are both gone.