Illinois Bitcoin ATM Regulations
The "Digital Asset Kiosks Act" (SB 2319) requires registration with the Department of Financial and Professional Regulation and establishes unique fraud protection refund policies for new customers.
Licensing Requirements
The "Digital Asset Kiosks Act" (SB 2319) requires all Bitcoin ATM operators to register with the Illinois Department of Financial and Professional Regulation (IDFPR).
Operators must maintain proper registration and comply with all state money transmission requirements.
Transaction Limits
Illinois has a unique approach to defining new customers - based on either number of transactions OR time elapsed. The higher $2,500 new customer limit is also notable.
| Customer Type | Daily Limit | Notes |
|---|---|---|
| New Customer | $2,500 | Until 3 transactions OR 7 days |
| Existing Customer | $10,500 | After new customer period |
Customer Script
"In Illinois, your transaction limit is $2,500 per day until you have completed three transactions or have been with us for at least seven days."
Fee Caps
Illinois caps total fees (including spread) that operators can charge customers.
- Maximum fee: 18% of transaction value OR $5, whichever is greater
- All fees must be clearly disclosed prior to transaction
- Fee breakdown must be provided on receipts
KYC & New Customer Rules
Illinois uses a dual-trigger system for determining new customer status - either three completed transactions OR seven days from account opening, whichever comes first.
- New customer period: Until 3 transactions completed OR 7 days elapsed
- Government-issued ID required for all transactions
- Both transaction count AND time must be tracked
Fraud Refund Policy
Illinois has unique consumer protection requirements for fraud victims, particularly for new customers.
Compliance Note - Fraud Refunds
Illinois requires a full refund to new customers for up to three fraudulent transactions if reported within 30 days. Escalate such refund requests to the Digital Asset Kiosk Operator immediately for processing.
Legislative Reference
The primary legislation governing Bitcoin ATM operations in Illinois is Senate Bill 2319, known as the "Digital Asset Kiosks Act."
SB 2319 - Digital Asset Kiosks Act