A NEW BITCOIN ATM CHAIN ADVERTISES $50,000 A DAY AT A FLAT 5% FEE — CALIFORNIA CAPS A KIOSK CUSTOMER AT $1,000 A DAY — ARIZONA AT $10,500

A company called Lowest Fee Bitcoin ATMs, issued by LSGT Services LLC of Fort Lauderdale, put out a release on October 12, 2026 announcing more than 400 machines in “Florida, California, Arizona, Texas and other states” at a flat 5% fee. The release puts the typical bitcoin ATM fee at 12% to 20%. It says the company never holds customer funds and is registered with FinCEN as a money services business. It also says the 5% does not include any markup in the exchange rate, which it says is shown on screen.

The release lists two limits. “Customers who verify with a phone number can buy up to $2,000 per day.” “Customers who verify with a government-issued ID and Tax ID can buy up to $50,000 per day.” It says its machines “operate in compliance with federal and state regulations.” It does not say how those limits change from state to state.

Two of the four states it names write their own limits into law. California’s Financial Code section 3902, in force since January 1, 2024, bars a kiosk operator from taking more than $1,000 a day from a customer. Section 3904 caps charges at the greater of $5 or 15%, and since July 1, 2026 a kiosk operator needs a state license. Arizona’s kiosk law, HB 2387, in effect since September 26, 2025, caps customers with a wallet under 10 days old at $2,000 a day and everyone else at $10,500, per the state attorney general.

Sort the claims into two piles. The 5% fee is checkable: the release says it shows on the screen before the cash goes in. The $50,000 limit is checkable too, against the statute book, and at a kiosk in California or Arizona it cannot be the number a customer gets. A release that says compliant and a law that says $1,000 only agree if the machine knows which state it is standing in. Ask it before you feed it. At the time of this writing, bitcoin was $81,593.