Kentucky's House Bill 380, aimed at regulating cryptocurrency ATMs and kiosks, has sparked controversy due to a late-stage amendment requiring hardware wallet providers to enable credential resets, including passwords and seed phrases. The Bitcoin Policy Institute criticized this as "technologically impossible" for non-custodial wallets, potentially banning self-custody in the state. The bill, which focuses on licensing and consumer protections, conflicts with Kentucky's existing law safeguarding self-custody rights. Meanwhile, Minnesota is considering a complete ban on cryptocurrency kiosks following a surge in fraud targeting elderly residents. The proposed legislation seeks to eliminate kiosks entirely, citing insufficient existing safeguards against scams. These contrasting approaches highlight the challenges states face in balancing regulation with consumer protection in the rapidly evolving crypto landscape.