Nebraska Joins $2.5 Million Settlement with Crypto Kiosk Operator – KCSR / KBPY

Nebraska Department of Banking and Finance

Nebraska and thirty-three other state financial regulatory agencies have reached a $2.5 million settlement with Coinme Inc. (NMLS ID 1185542), a Seattle-based cryptocurrency money transmitter and kiosk operator, for violations of Bank Secrecy Act (BSA) and anti-money laundering (AML) laws that safeguard the financial system from illicit use.

Under the terms of the settlement, Coinme has agreed to terminate its virtual currency kiosk operations by Jan. 1, 2027, or face an additional $4 million penalty. The settlement amount will be allocated among participating states based on transaction volume. Nebraska will receive $24,531.26.

In addition, Coinme has agreed to hire an independent consultant to review the comprehensiveness and effectiveness of its BSA/AML program and submit a report to the states within six months. Coinme will have 12 months to correct any deficiencies found in the review after the report is filed.

“We are pleased to collaborate with thirty-three other states and CSBS in protecting Nebraskans from cryptocurrency fraud,” said Kelly Lammers, Director of the Department of Banking and Finance. “We work very hard to make Nebraska the most trusted financial home for people and businesses.”

Nebraska residents who have questions about the enforcement action should contact the
Department at (402) 471-2171. Residents can also visit NMLS Consumer Access to verify that a company is licensed to do business in Nebraska, and they may also view past enforcement actions.

Alaska, Arkansas, Georgia, Illinois, North Carolina, Ohio, and Washington led the enforcement effort.

To protect consumers and enforce safety and soundness requirements, state regulators regularly coordinate supervision of multistate firms and, when necessary, initiate enforcement actions. This networked coordination supports consistency and collaboration, while preserving the authority of individual states to take direct action.