Chapter 358-U: Digital Asset Transaction Kiosks

It is the intent of the general court that this chapter establish reasonable and uniform consumer protections while permitting lawful and responsible digital asset transaction kiosk operations.

I. "Customer" means a natural person using a kiosk.

II. "Digital asset" means a digital representation of value recorded on a distributed ledger or blockchain, including cryptocurrency.

III. "Digital asset transaction kiosk" or "kiosk" means a self-service electronic terminal located in a public or retail setting that enables a person to buy, sell, or transfer a digital asset using cash or another payment method.

IV. "Operator" means a person or entity that owns, manages, or controls one or more kiosks in this state, whether directly or through a third-party host location.

V. "Reference price" means a real-time price for the covered digital asset derived from a public exchange or composite index.

I. With respect to the first transaction for a customer, an operator shall:

(a) Hold the first digital asset transaction made by a customer for a period of at least 48 hours, after which time the operator may complete the customer's digital asset transaction.

(b) Not permit a customer to complete a second digital asset transaction until the hold period under subparagraph (a) has lapsed.

II. During a hold period under subparagraph I(a), a customer may contact the operator to request that the customer's first digital asset transaction be canceled and the entire amount of the customer's first digital asset transaction be returned or refunded to the customer.

III. Prior to accepting payment from a customer at a digital asset transaction kiosk, the kiosk operator, or its authorized delegate, shall verify the identity of the individual in a manner consistent with applicable state and federal laws.

IV. Operators shall not permit transactions under any false, fictitious, or assumed identity. All transactions shall be conducted under a customer's true and verifiable identity.

V. All digital asset transaction kiosk operators performing business shall provide a dedicated communications line for relevant government agencies via a posted United States phone number or email address. Said dedicated line shall be used to facilitate law enforcement and regulatory agency communications with the digital asset transaction kiosk operator in the event of a fraud report from a customer. The communications line shall be frequently monitored.

I. An operator shall not accept or dispense, in the aggregate, more than $2,000 per customer per calendar day across all kiosks under common control within the United States.

II. Before accepting funds, all kiosks shall display conspicuous warnings, including that no government agency, law enforcement, court, utility, bank, tech support, employer, or retailer will ever demand payment by crypto ATM. The kiosk shall require the customer to answer fraud-screening prompts, including whether they are being coached by another person. If the customer indicates a risk of fraud, the kiosk shall block the transaction and display law enforcement and consumer protection and antitrust bureau contact information.

III. Operators shall use blockchain analytics to block transfers to or from wallet addresses flagged for association with scams, theft, sanctions, or other illicit activity, and shall maintain written anti-fraud and consumer protection policies.

IV. Before accepting funds, kiosks shall disclose in writing and on-screen all fees, the spread between the operator's price and the reference price, expressed as a percentage and dollar amount, and the total digital asset expected to be delivered.

V. The kiosk shall provide a printed and electronic receipt summarizing the transaction, including the operator's name and toll-free live customer service phone number, the kiosk's location, a timestamp, the name of the asset, the quantity of the asset, the asset's reference price, the asset's spread, all fees paid, the total amount paid, the wallet address or voucher ID, any applicable cancellation codes, and a refund policy.

VI. The digital asset transaction kiosk operator shall provide a full refund of all transactions to a customer who was fraudulently induced to engage in a digital asset kiosk transaction or transactions, provided that the customer contacts the digital asset kiosk operator and a law enforcement or government agency to inform the operator and the agency of the fraudulent nature of the transaction or transactions within 14 days after the customer's last digital asset transaction with the digital asset transaction kiosk operator. The refund shall include any fees charged in association with the fraudulently induced transactions.

I. Any violation of this chapter shall constitute an unfair or deceptive act or practice within the meaning of RSA 358-A:2. Any right, remedy, or power set forth in RSA 358-A may be used to enforce the provisions of this chapter.

II. The rights, obligations, and remedies provided in this chapter shall be in addition to any other rights, obligations, or remedies provided for by law or in equity.