Bill Text: MI HB5986 | 2025-2026 | 103rd Legislature | Introduced
Bill Title: Consumer protection: other; cryptocurrency kiosks; prohibit the installation and operation of. Creates new act. TIE BAR WITH: HB 5987'26
Sponsorship: Partisan Bill (Democrat 10)
Status: (Introduced) 2026-05-20 - Bill Electronically Reproduced 05/19/2026 [HB5986 Detail]
Download: Michigan-2025-HB5986-Introduced.html
HOUSE BILL NO. 5986
A bill to prohibit the installation and operation of cryptocurrency kiosks; to provide for the powers and duties of certain state and local governmental officers and entities; to prescribe civil sanctions; and to provide remedies.
the people of the state of michigan enact:
Sec. 1. This act may be cited as the "cryptocurrency kiosk prohibition act".
(a) "Commissioner" means that term as defined in section 3 of the McCauley-Traxler-Law-Bowman-McNeely lottery act, 1972 PA 239, MCL 432.3.
(b) "Cryptocurrency" means digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, and that operates independently of a central bank.
(c) "Cryptocurrency kiosk" means a kiosk, automated teller machine, vending machine, or other electronic terminal that enables a cryptocurrency kiosk operator to facilitate the purchase, sale, or exchange of money for cryptocurrency or of cryptocurrency for money. Cryptocurrency kiosk includes, but is not limited to, an electronic terminal that does either of the following:
(i) Connects directly to a separate cryptocurrency exchange that performs the cryptocurrency transmission.
(ii) Draws on cryptocurrency that is in the possession of the operator of the electronic terminal.
(d) "Cryptocurrency kiosk operator" means a person that owns or operates a cryptocurrency kiosk.
(e) "Money" means a medium of exchange authorized or adopted by the United States or a foreign government as a part of its currency that is customarily used and accepted as a medium of exchange in the country of issuance. The term includes a monetary unit of account established by an intergovernmental organization or by agreement between 2 or more governments.
(f) "Person" means an individual or a partnership, corporation, limited liability company, association, governmental entity, or other legal entity.
Sec. 5. A person shall not do any of the following:
(a) Install or operate a cryptocurrency kiosk.
(b) Allow a cryptocurrency kiosk to be installed or operated on any premises that the person owns, leases, or controls.
Sec. 7. (1) A person that violates section 5 is subject to a civil fine of not more than $100.00 for each day of violation. The prosecutor of the county in which the violation occurred or the attorney general may bring an action to collect the civil fine. A civil fine collected under this section must be deposited in the general fund.
(2) If a county prosecutor or the attorney general brings an action against a person under subsection (1), the county prosecutor or attorney general shall provide written notice to the commissioner of each of the following events not later than 7 days after the occurrence of the event:
(a) The commencement of the action.
(b) Any determination made in the action as to whether the person violated section 5.
(c) Any appeal filed by the person.
(3) A person that violates section 5 is subject to a licensing action under this subsection if the person holds a lottery sales agent license under the McCauley-Traxler-Law-Bowman-McNeely lottery act, 1972 PA 239, MCL 432.1 to 432.47. If a person is determined to have violated section 5 in an action brought under subsection (1), the commissioner shall suspend the person's lottery sales agent license for 90 days.
Enacting section 1. This act takes effect 90 days after the date it is enacted into law.
Enacting section 2. This act does not take effect unless Senate Bill No. ____ (request no. S06776'26 a) or House Bill No. 5987 (request no. H06776'26 a) of the 103rd Legislature is enacted into law.
