Texas reports $56.8 million in 2025 crypto kiosk losses, highest in U.S.

Texas recorded $56.8 million in reported cryptocurrency kiosk fraud losses in 2025, the highest total of any U.S. state, according to FBI figures presented to a state House committee. The state accounted for 1,179 of 13,460 complaints logged nationally as reported losses tied to the machines rose 58% to $389 million. The kiosks, commonly placed in gas stations and convenience stores, let users convert cash into crypto. Investigators and state officials say scammers typically pressure victims into withdrawing money from bank accounts and depositing it into the machines under false pretenses. Once the funds are sent, recovery is usually difficult because the money can move to an unhosted wallet and then through a mixer, obscuring its trail. The issue drew sharp scrutiny at a hearing of the House Committee on Homeland Security, Public Safety and Veterans' Affairs, where officials and invited witnesses described crypto kiosk fraud as a fast-moving and highly effective theft method. Jesse Saucillo, deputy commissioner at the Texas Department of Banking, said AI-generated impersonation of police and state agencies is making scam calls more convincing, while committee chair Rep. Cole Hefner signaled Texas may consider steps that go beyond regulation. The debate comes as states across the country tighten oversight. AARP says about 30 states have enacted crypto kiosk legislation since 2023, with some imposing transaction caps and refund requirements, while Indiana banned the machines in March and Tennessee and Minnesota have since followed.