This is not regulation; it's a clearance-style management.

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CryptoFrontier
Tennessee Bans Crypto ATMs Statewide, Second U.S. State After Indiana
Tennessee has become the second U.S. state to outright ban crypto ATMs, with Governor Bill Lee signing House Bill 2505 into law on April 13. The bill passed both chambers unanimously and will take effect July 1, making it a misdemeanor to operate or host the machines anywhere in the state.
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