How much is Wisconsin's crypto ATM law limiting scams?

By Jacob Szczap for Wisconsin Watch

This story was originally published by Wisconsin Watch, and was produced in partnership with the University of Wisconsin-Madison’s Investigative Journalism class taught in the School of Journalism and Mass Communication.

Robert Semanko told police he thought he couldn’t be scammed.

Then last October the 31-year-old father of three from central Wisconsin got a call from a scammer posing as the Chippewa County Sheriff’s Office. Semanko was told he missed jury duty, resulting in two citations, and owed an additional $2,000 fine. Over three hours the scammer tricked Semanko into inserting $7,000 into a crypto ATM.

Crypto ATM scams have become more prevalent in Wisconsin and throughout the U.S. in recent years, leading lawmakers to pass legislation. The scams have caused headaches for local law enforcement agencies and oftentimes pain, embarrassment and irreversible financial damage to victims.

Sen. Jesse James, R-Thorp, who as a Cadott police officer responded to Semanko’s case, co-authored recently approved legislation that places significant regulations on crypto ATMs statewide.

But unlike a handful of other states, including Minnesota and Indiana, Wisconsin opted not to ban crypto ATMs completely as lobbyists pressed regulation-averse Republican lawmakers for looser restrictions.