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Payson bans cryptocurrency kiosks, cites scam losses and gives businesses 60 days to comply
Summary
After hearing local fraud data and peer city precedents, the council adopted an ordinance prohibiting on‑site cryptocurrency kiosks (crypto machines); police will send notice to local businesses and allow 60 days for removal.
The Payson City Council unanimously adopted an ordinance to prohibit on‑site cryptocurrency kiosks in city businesses, citing growing evidence that the machines are used in scams targeting residents.
Police chief (S11) told council members that local enforcement and a recent review found roughly $100,000 in local scam losses tied to crypto machines over the last two years and described regional figures in the millions. He said other Utah cities have moved to ban the machines and that state limits on transaction sizes were tightened but have not eliminated misuse: “Our crypto machines here and other places in the community are used about 98% of the time for scams,” the chief said.
Under the new chapter to Title 6, business owners will receive a 60‑day compliance window to remove leased or owned machines; the police pledged to prepare outreach letters to help businesses comply and to couple enforcement with education. The council moved and seconded the ordinance and approved it by roll call.
Officials emphasized the ban was intended to protect consumers—particularly older residents—from fraud while giving businesses time to end leases or remove equipment. The chief said law enforcement will also pursue public‑education funding and use new regulatory tools to impound machines classified as motorcycles or high‑speed devices where appropriate.
