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Minnesota Bitcoin ATM Regulations

The Minnesota Money Transmission Modernization Act (effective January 1, 2024) requires licensing for virtual currency exchange with specific bold-type warning disclosure requirements.

Licensing Requirements

The Minnesota Money Transmission Modernization Act (effective January 1, 2024) requires licensing for virtual currency exchange. This was one of the earlier states to modernize their money transmission laws to specifically include cryptocurrency operations.

Operators must obtain and maintain a money transmitter license through the Minnesota Department of Commerce.

Transaction Limits

Minnesota has established maximum daily transaction limits for new customers with a 72-hour new customer period.

Customer Type Daily Limit Notes
New Customer $2,000 First 72 hours
Existing Customer N/A No specific cap mentioned

Customer Script

"For our Minnesota customers, there is a $2,000 daily limit for the first 72 hours after your first transaction."

Warning Disclosure Requirements

Minnesota has specific requirements for risk disclosures that must be displayed to customers.

Compliance Note - Required Warning

Minnesota requires an additional, specific bold-type "WARNING" disclosure that must be acknowledged separately from other risk disclosures. This warning must be displayed prominently and customers must actively acknowledge it before proceeding.

KYC & New Customer Rules

Minnesota's "New Customer" period is 72 hours from the first transaction, similar to several other states.

  • New customer period: 72 hours from first transaction
  • Government-issued ID required for verification
  • Customer status must be verified before applying limits
  • All standard KYC requirements apply under money transmission laws

Legislative Reference

The primary legislation governing Bitcoin ATM operations in Minnesota is the Money Transmission Modernization Act, which became effective January 1, 2024.

Money Transmission Modernization Act