Woofun AI reports that a U.S. federal court declined to block the enforcement of Tennessee's cryptocurrency ATM prohibition, allowing Public Chapter 766 to become active on July 1. The legislation designates the installation or operation of virtual currency vending machines in the state as a Class A misdemeanor. Attorney General Jonathan Skrmetti characterized these devices as instruments primarily utilized by fraudsters against vulnerable citizens, asserting they lack legitimate utility. CoinFlip, which manages over 5,500 Bitcoin ATMs across 48 U.S. states and multiple international jurisdictions, alongside smaller operator Private IT Corporation, initiated the constitutional lawsuit to contest the ban.