Bangladesh, May 29 -- The rapid rise of cryptocurrency ATMs once symbolized the mainstream arrival of digital finance. Installed in gas stations, smoke shops, grocery stores and convenience stores across North America, the machines promised ordinary people an easy bridge between cash and cryptocurrency. But that same convenience has increasingly turned crypto ATMs into one of the preferred tools of fraudsters, money launderers and international scam networks.

Now, governments across the United States and Canada are moving aggressively to shut the industry down. Regulators and law enforcement agencies have warned for years that crypto ATMs are heavily exploited by criminals targeting elderly and vulnerable victims. Several states have pro...