Digital asset kiosk operators have refunded more than $750,000 to Illinois consumers since the state's Digital Asset Kiosks Act took effect last year, the Illinois Department of Financial and Professional Regulation announced Monday.
The agency, known as IDFPR, said the money has gone to consumers who reported being victims of scams or fraud involving digital asset kiosks, often called cryptocurrency kiosks.
Since the law was signed in August 2025, kiosk operators have received 453 refund requests from Illinois consumers and have granted refunds totaling $750,206.61, with an average of $1,656 per refund, according to the department.
"When we put meaningful protections in place, we expect those protections to make a difference in the lives of Illinoisans," IDFPR Secretary Mario Treto, Jr. said. "More than $750,000 returned to consumers is a clear indication that the Digital Asset Kiosks Act is doing exactly what it was intended to do. IDFPR will continue its efforts to demonstrate that innovation and consumer protection can, and should, go hand in hand."
What the law requires
The Digital Asset Kiosks Act, known as DAKA, established new requirements for kiosk operators, including reporting of kiosk locations and consumer protections aimed at fraud and scams, the department said. A key provision requires operators to provide full refunds to new customers who are victims of scams conducted through the kiosks, subject to the requirements of the law.
The law also set a transaction fee cap of 18 percent at digital asset kiosks and limits daily transaction amounts for new customers to $2,500. The department said those provisions are meant to protect consumers who may be unfamiliar with the kiosks and the risks of digital asset transactions.
"The growth of digital asset kiosks has given consumers easy access to digital assets, but that access must be accompanied by appropriate safeguards," said IDFPR Regulatory Innovation Officer Jake Hamilton. "IDFPR will continue working with consumers and regulated businesses to ensure compliance with digital asset law in Illinois and to protect consumers from scams."
How the scams work
While some kiosks let users sell cryptocurrency for cash, the department said most customers use kiosks to buy cryptocurrency with cash and send it to a digital wallet. Scammers exploit the ease of these transactions to direct victims to send funds to wallets the scammers control, which can be located anywhere in the world. Victims do not need to already own cryptocurrency to be targeted.
Although operators have put safeguards and disclosures in place, the department said scammers often coach victims on how to bypass those protections and send cryptocurrency to wallets they do not control.
State Sen. Laura Ellman (D-Naperville) said lawmakers passed Senate Bill 2319 because "Illinoisans have been exploited by scammers sending people to crypto kiosks, draining their savings." She added: "Illinois has put stronger consumer protections in place, and we're seeing results: people are getting money back, and operators are being held accountable."
State Rep. Curtis J. Tarver II (D-Chicago) said the law was about "putting real protections in place for Illinois consumers and giving people a meaningful way to recover their money." He said more than 450 refund requests and more than $750,000 returned "shows why this law was needed."
How to get a refund
The department said consumers who believe they may have been the victim of a scam involving a digital asset kiosk can request a refund by:
- Reporting the fraud to the kiosk operator within 30 days of the transaction, and
- Providing a police report to the operator within 60 days of the transaction.
IDFPR also encourages consumers to report the matter to the department by filing a complaint on the IDFPR website at idfpr.illinois.gov. Consumers can learn more about digital assets and regulation in Illinois, and find a list and map of kiosk locations, on the department's digital assets pages at idfpr.illinois.gov/banks/digital-assets.html.
Source: the original release