Germany uncovers illegal cryptocurrency ATMs with 25 million euros

Germany’s Federal Financial Supervisory Authority (BaFin) has conducted a large-scale operation aimed at combating illegally installed cryptocurrency ATMs across the country. The raids, which covered 35 locations, resulted in the seizure of 13 cryptomachines and the confiscation of about EUR 25 million in cash.

The detected ATMs violated German banking laws, as they were installed without the necessary registration and did not comply with the Banking Act. In addition, their use for exchanging euros for cryptocurrencies was contrary to current regulations, which raised concerns about the possible use of such devices for money laundering.

There are 176 cryptomachines in Germany, most of which are located in the cities of Düsseldorf, Berlin, and Stuttgart. Although these devices are user-friendly, they are often criticized for their high fees compared to online exchanges. However, despite the criticism, the popularity of cryptomats continues to grow.

BaFin’s operation is part of a global effort to tighten control over cryptocurrency transactions, especially in the absence of the necessary oversight of transactions over € 10,000. It is expected that the situation in Europe may change with the introduction of the new Markets in Crypto-Assets Regulation (MiCA), which provides for mandatory customer identification and reporting of all cryptocurrency transactions.

Earlier, we reported that the Ukrainian government announced the approval of a plan under the Ukraine Facility program aimed at supporting and implementing reforms in the country from 2024 to 2027. One of the key initiatives of this plan is the regulation of the virtual asset sector, which will be an important step in ensuring financial stability and investor protection.