Proposed nationwide ban raises concerns over lack of industry consultation and evidence-based policymaking

TORONTO, April 30, 2026 /CNW/ - Localcoin, Canada's largest cryptocurrency ATM operator, is expressing concern following a recent federal government proposal to ban crypto ATMs nationwide, introduced without consultation with industry operators or key stakeholders.

With a network of over 1,000 retail partners across Canada, many of them independent, locally owned businesses, and dozens of contracted service providers nationwide, Localcoin's mission is to provide accessible, safe, and user-friendly access to digital currency. Through its crypto ATMs, Localcoin served over 250,000 Canadians who value the convenience of buying and selling crypto with cash at familiar retail locations.

"This proposal represents a sweeping measure that risks undermining an entire industry, hundreds of small retail partners, and the Canadian employees and contractors the sector supports," says Tristan Fong, CEO Localcoin. "It was developed without prior notice to stakeholders, and no one in the industry was aware it was under consideration. As a company committed to expanding the safe and responsible use of cryptocurrency, a blanket ban would disproportionately impact legitimate operators like Localcoin, as well as the hundreds of thousands of Canadians who use crypto ATMs for lawful, financial transactions."

While Localcoin acknowledges that bad actors can misuse financial technologies, including crypto ATMs, and that fraud remains a concern, it notes that this is not unique to the crypto ATM industry.

"Fraud is a broader challenge across the financial system," Fong adds. "If we look across sectors in Canada, there have been hundreds of thousands of fraud cases, yet outright bans have not been proposed in response. Eliminating one access point does not stop criminal activity, it simply shifts it elsewhere, often to channels with fewer safeguards and less oversight. Rather than imposing a reactionary ban, effective solutions require targeted enforcement, stronger protections, and collaboration between regulators and industry. The focus should remain on addressing bad actors directly, rather than restricting legitimate access to financial tools."

"We are ready to work collaboratively with policymakers to strengthen regulation, enhance fraud prevention measures, and improve public education across crypto ATM networks," says Fong. "Regulatory tightening is a normal part of the financial services sector, and is especially common in the crypto sub-sector as it evolves. We believe there is a time and place for government support to ensure greater protection of Canadians, and that is important. However, an immediate escalation toward a ban, without clear supporting data or industry consultation, is not in the public interest."

To learn more, visit Localcoinatm.com.

About Localcoin: Founded in 2016 in Toronto, Localcoin is Canada's largest Bitcoin ATM network, with over 60 full-time staff members in Canada, operating over 2,150 machines across five countries including Canada, Australia, New Zealand, Hong Kong, and Poland. Localcoin makes cryptocurrency accessible to anyone, regardless of technical experience, through physical ATM kiosks that allow customers to buy and sell crypto with cash in minutes.

SOURCE Localcoin