Wasilla Senator's Mother Scammed, Sparks Crypto Kiosk Crackdown

A Wasilla state senator whose mother lost thousands of dollars to cryptocurrency scammers won unanimous Senate approval on May 12, 2026, for statewide regulations for Bitcoin ATMs.

Senate Bill 249 by Senator Cathy Tilton passed unanimously after scammers used a cryptocurrency kiosk to steal from her aging parent. The bill establishes a consumer bill of rights for virtual currency kiosks operating across Alaska. "It's not regulating cryptocurrency at all," Tilton said, emphasizing that the measure targets kiosk misuse rather than digital currency itself.

The Federal Trade Commission reported that U.S. consumers lost more than $10 billion to fraud in 2023. Investment scams accounted for the largest reported losses, with a growing share involving cryptocurrency. The FBI's 2024 Internet Crime Complaint Center report showed that people age 60 and older continue to report the highest dollar losses to fraud nationwide, including tech support, investment, and romance scams. Several U.S. states, including New Hampshire, have introduced or passed bills to regulate cryptocurrency ATMs and kiosks by imposing transaction caps, refund periods, and disclosure requirements to combat fraud targeting consumers.

"In 2024, Alaskans lost more than $26 million to online fraud, with seniors bearing a third of those losses," Tilton said. "Our seniors spent decades building our state, families, and their life savings. Enacting digital currency protections is another critical step to allowing seniors to live their golden years in peace and stability."

During legislative consideration of the bill, lawmakers discussed how scammers coach victims through multiple kiosk visits, escalating losses over days or weeks. Representative Zack Fields noted that testimony showed over 90 percent of transactions on these kiosks are scams and fraud. Fields proposed amendments lowering the monthly transaction cap from $10,000 to $5,000 and extending the hold period from 48 hours to a week. He explained that elders often do not speak with family members for several days after a scammer walks them to a kiosk. "Sometimes when elders go to a cryptocurrency kiosk, they may not talk to their children or other family members for a couple of days," Fields said. "By the time they've told their family members, you know, they get taken to the kiosk by a scammer on Monday, they don't talk to their family member by Thursday."

Senate Bill 249 requires kiosks to display mandatory fraud warnings and acquire licenses. It sets transaction limits, caps transaction fees, and facilitates refunds for fraudulent virtual currency transfers. The bill encourages law enforcement cooperation so officers may track transfers in real time.

"Senator Tilton's leadership has been critical in moving this important consumer protection legislation," said Marge Stoneking, AARP Alaska Advocacy Director. "SB249 will protect older Alaskans' hard-earned savings from scammers leveraging cryptocurrency kiosks."