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Protecting Consumers from Cryptocurrency Kiosk Scams
AARP Nebraska and Fraud Fighter Volunteers Help Lead the Charge
AARP
AARP Nebraska Fraud Fighters
Cryptocurrency kiosks are popping up in retail stores across Omaha, Nebraska, and around the U.S., often right next to traditional ATMs. But unlike ATMs, these machines have become tools for scammers, especially targeting older adults. That’s why AARP and AARP Nebraska have made fighting cryptocurrency kiosk fraud a top priority.
Local Action
Omaha’s Groundbreaking Ordinance
In late 2024, the Omaha City Council passed Ordinance 44007, requiring all businesses operating cryptocurrency kiosks to post clear warning signs about potential fraud risks. The ordinance also made it a crime to fail to post these notices. This was a major win for consumer protection, thanks to the leadership of Omaha City Councilmember Aimee Melton, who introduced the ordinance, and advocacy from AARP Nebraska.
“We wanted to make sure people knew what they were getting into before they used these machines,” said AARP Nebraska State Director Todd Stubbendieck.
The Douglas County Sheriff’s Office reported an 80% reduction in financial losses from cryptocurrency-related scams when comparing data from 2024 to figures through the end of September 2025.
Social Mission: Fraud
AARP Nebraska Fraud Fighters
After the Omaha ordinance passed, the Douglas County Sheriff’s Office teamed up with AARP Nebraska to launch the “Fraud Fighters.” This group of trained AARP volunteers visited stores across Omaha to:
- Ensure warning signs were properly posted
- Educate retailers about the ordinance
- Raise awareness about cryptocurrency scams targeting older adults
One local business owner, Ronnie S., shared with the Fraud Fighters that he saw a scam foiled in his store before the ordinance passed. He’s now planning to remove the kiosk altogether.
Douglas County Sheriff Aaron Hanson noted, “Reports of people being scammed at ATM crypto kiosks has dropped 20% in Douglas County, and we owe a lot of that to AARP Nebraska.”
The AARP Nebraska Fraud Fighters met with their respective Omaha City Council members to discuss the ordinance’s impact and share what they learned from their visits. These conversations are helping shape future fraud prevention strategies and build stronger community protections.
Statewide Momentum
AARP Nebraska also supported LB609, a state bill sponsored by Senator Eliot Bostar (District 29) which passed in March 2025 and:
- Requires cryptocurrency kiosk licensure under the Money Transmitters Act
- Sets daily transaction limits
- Guarantees refunds for new customers who fall victim to fraud
AARP Nebraska is now partnering with city leaders in Lincoln and Grand Island as both communities adopt and implement new local ordinances requiring clear fraud‑warning signage on cryptocurrency kiosks and ATMs.
In Lincoln, the City Council unanimously passed a November 2025 ordinance updating municipal code Chapter 9.70 to define cryptocurrency kiosks and ATMs and to require each machine to display a written warning issued by the Lincoln Police Department (LPD). These notices alert users to the risks of financial and cryptocurrency fraud—crimes that cost Lincoln residents more than $11 million from 2021 to 2025. In December 2025, LPD and AARP Nebraska Fraud Fighter volunteers placed warning stickers on machines citywide and educated residents about rising scam activity. Businesses that fail to comply face a $500 daily fine.
Grand Island followed with its own consumer‑protection measure, Ordinance #10051, passed in November 2025. The ordinance amends Chapter 25 of the city code, adds Article III “Cryptocurrency Machines,” and sets new requirements for cryptocurrency kiosks, ATMs, and Bitcoin Teller Machines (BTMs). Each machine must display a standardized fraud‑warning sign provided by the Grand Island Police Department (GIPD), with non‑compliant businesses subject to a $500 daily fine. GIPD and AARP Nebraska Fraud Fighter volunteers also visited local businesses to apply warning stickers in English and Spanish to increase awareness of scam tactics, particularly those targeting older adults.
These city ordinances complement state legislation and aim to reduce the growing number of cryptocurrency‑related scams by ensuring users see clear, consistent fraud‑prevention messaging before making transactions. AARP Nebraska will continue partnering with communities, urban and rural alike, to help bring these protections to more people.
Join the Fight Against Fraud
The AARP Fraud Watch Network™ is a free resource to all, providing fraud prevention tools and tips to help you protect your hard-earned money from fraudulent schemes. AARP Nebraska advocates at the local, state, and federal level to improve consumer protections and enforce the law. Learn more and stay informed at aarp.org/NebraskaScamAlerts. Together, we can stop scams before they start.
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