diff --git a/apps/machine/src/stores/atm.ts b/apps/machine/src/stores/atm.ts
index 126ddd8..d0e2005 100644
--- a/apps/machine/src/stores/atm.ts
+++ b/apps/machine/src/stores/atm.ts
@@ -334,14 +334,40 @@ export const useAtmStore = defineStore('atm', () => {
 
   /**
    * Push a freshly-applied fee config from the operator-fees consumer
-   * into the renderer's reactive refs. XState's per-flow context-snapshot
-   * boundary defers the effective change to the next transaction (the
-   * in-flight flow keeps using its captured fractions). See operator-
-   * fees.ts file header for the full reasoning.
+   * into the renderer's reactive refs + the running state machine.
+   *
+   * Three responsibilities (see coord log 2026-06-01T18:30Z for the
+   * gap-3 reactive unblock):
+   *
+   * 1. Update the pinia refs so future `createATMMachine()` calls bake
+   *    in the right fractions.
+   * 2. Dispatch UPDATE_FEE_CONFIG into the running actor so the in-memory
+   *    machine picks up the new fees on its next cashIn/cashOut entry
+   *    (no service restart needed; XState's per-flow context-snapshot
+   *    boundary still defers the in-flight transaction).
+   * 3. If we're sitting in the 'awaiting-fees' maintenance state, clear
+   *    `initError` so the UI flips from maintenance card → IdleView.
+   *    Operator just published the first config; ATM goes live.
    */
   function applyFeeConfig(fees: { cashInFeeFraction: number; cashOutFeeFraction: number }) {
     cashInFeeFraction.value = fees.cashInFeeFraction
     cashOutFeeFraction.value = fees.cashOutFeeFraction
+
+    if (actor.value) {
+      actor.value.send({
+        type: 'UPDATE_FEE_CONFIG',
+        cashInFeeFraction: fees.cashInFeeFraction,
+        cashOutFeeFraction: fees.cashOutFeeFraction,
+      })
+    }
+
+    if (initError.value === 'awaiting-fees') {
+      console.log(
+        `[ATM] Operator fee config received — clearing 'awaiting-fees' maintenance state ` +
+          `(cash_in=${fees.cashInFeeFraction} cash_out=${fees.cashOutFeeFraction})`
+      )
+      initError.value = null
+    }
   }
 
   /**
@@ -1026,26 +1052,34 @@ export const useAtmStore = defineStore('atm', () => {
 
     // Load persisted operator fee config (aiolabs/lamassu-next#57). If no
     // config has ever been applied (fresh ATM, pre-operator-publish),
-    // fail-closed into maintenance screen. The operator-fees subscriber
-    // started below will unblock this once it receives a valid event from
-    // the operator's satmachineadmin (publish triggered by machine create
-    // / update / super-config change per aiolabs/satmachineadmin#39).
+    // enter the 'awaiting-fees' maintenance state — UI shows the operator
+    // a directive to publish initial fee config, transactions are blocked
+    // (no user-facing route renders).
+    //
+    // Crucially, we DO NOT bail out of init here — HAL + Lightning + the
+    // operator-fees subscriber still need to start so the first inbound
+    // kind-30078 `bitspire-fees:<atm_pubkey>` event can land. `applyFeeConfig`
+    // (the subscriber's onApply callback) clears `initError` reactively
+    // when that first event arrives, flipping the UI live without a
+    // service restart. See coord log 2026-06-01T18:30Z for the gap-3
+    // dead-end this fixes.
     const persistedFees = await api.getFeeConfig()
     if (persistedFees === null) {
       initError.value = 'awaiting-fees'
       console.warn(
         '[ATM] No persisted fee config and no inbound event yet — entering maintenance state. ' +
-          'Operator must publish initial fee config via satmachineadmin.'
+          'Operator must publish initial fee config via satmachineadmin. ' +
+          'Subscriber is starting; ATM will unblock reactively on first valid event.'
+      )
+    } else {
+      cashInFeeFraction.value = persistedFees.cashInFeeFraction
+      cashOutFeeFraction.value = persistedFees.cashOutFeeFraction
+      console.log(
+        `[ATM] Restored fee config from state.db: ` +
+          `cash_in=${persistedFees.cashInFeeFraction} cash_out=${persistedFees.cashOutFeeFraction} ` +
+          `(event_created_at=${persistedFees.eventCreatedAt})`
       )
-      return
     }
-    cashInFeeFraction.value = persistedFees.cashInFeeFraction
-    cashOutFeeFraction.value = persistedFees.cashOutFeeFraction
-    console.log(
-      `[ATM] Restored fee config from state.db: ` +
-        `cash_in=${persistedFees.cashInFeeFraction} cash_out=${persistedFees.cashOutFeeFraction} ` +
-        `(event_created_at=${persistedFees.eventCreatedAt})`
-    )
 
     // Build device config from runtime values
     const { getDeviceConfig, toHalConfig, MACHINE_PRESETS } = await import('@/config')
diff --git a/packages/state-machine/src/__tests__/machine.test.ts b/packages/state-machine/src/__tests__/machine.test.ts
index 4d50ad2..00d742a 100644
--- a/packages/state-machine/src/__tests__/machine.test.ts
+++ b/packages/state-machine/src/__tests__/machine.test.ts
@@ -47,6 +47,62 @@ describe('ATM State Machine', () => {
     })
   })
 
+  describe('UPDATE_FEE_CONFIG', () => {
+    // Operator-fees subscriber dispatches this on every valid kind-30078
+    // event (aiolabs/lamassu-next#57 + coord log 2026-06-01T18:30Z gap-3
+    // reactive unblock). Next cashIn/cashOut entry stamps the new
+    // fractions onto context.feeFraction via setCashInFee / setCashOutFee.
+
+    it('updates cashInFeeFraction + cashOutFeeFraction on context', () => {
+      const machine = createATMMachine()
+      const actor = createActor(machine)
+      actor.start()
+
+      actor.send({
+        type: 'UPDATE_FEE_CONFIG',
+        cashInFeeFraction: 0.06,
+        cashOutFeeFraction: 0.11,
+      })
+
+      const context = actor.getSnapshot().context
+      expect(context.cashInFeeFraction).toBe(0.06)
+      expect(context.cashOutFeeFraction).toBe(0.11)
+    })
+
+    it('does not leave the idle state when applied', () => {
+      const machine = createATMMachine()
+      const actor = createActor(machine)
+      actor.start()
+
+      actor.send({
+        type: 'UPDATE_FEE_CONFIG',
+        cashInFeeFraction: 0.06,
+        cashOutFeeFraction: 0.11,
+      })
+
+      expect(actor.getSnapshot().value).toBe('idle')
+    })
+
+    it('propagates to context.feeFraction on the next cashIn entry', async () => {
+      // Machine starts with zero fees (post-#57 default). UPDATE_FEE_CONFIG
+      // lands. SELECT_CASH_IN fires setCashInFee, which stamps the new
+      // fraction onto context.feeFraction for the in-flight transaction.
+      const machine = createATMMachine(mockServices)
+      const actor = createActor(machine)
+      actor.start()
+
+      actor.send({
+        type: 'UPDATE_FEE_CONFIG',
+        cashInFeeFraction: 0.06,
+        cashOutFeeFraction: 0.11,
+      })
+      actor.send({ type: 'SELECT_CASH_IN' })
+      await new Promise((resolve) => setTimeout(resolve, 50))
+
+      expect(actor.getSnapshot().context.feeFraction).toBe(0.06)
+    })
+  })
+
   describe('cash-in flow', () => {
     it('should transition to cashIn on SELECT_CASH_IN', async () => {
       const machine = createATMMachine(mockServices)
diff --git a/packages/state-machine/src/machine.ts b/packages/state-machine/src/machine.ts
index fc87fca..de0cb90 100644
--- a/packages/state-machine/src/machine.ts
+++ b/packages/state-machine/src/machine.ts
@@ -415,6 +415,18 @@ export function createATMMachine(
         ? { cashOutFeeFraction: options.cashOutFeeFraction }
         : {}),
     },
+    // Root-level handler: lets the operator-fees subscriber update the
+    // active fee fractions reactively. Next cashIn/cashOut entry will
+    // snapshot the new values via setCashInFee / setCashOutFee actions.
+    // See coord log 2026-06-01T18:30Z (the gap-3 reactive unblock).
+    on: {
+      UPDATE_FEE_CONFIG: {
+        actions: assign({
+          cashInFeeFraction: ({ event }) => event.cashInFeeFraction,
+          cashOutFeeFraction: ({ event }) => event.cashOutFeeFraction,
+        }),
+      },
+    },
     states: {
       idle: {
         entry: 'resetContext',
diff --git a/packages/state-machine/src/types.ts b/packages/state-machine/src/types.ts
index b99c78b..6be35af 100644
--- a/packages/state-machine/src/types.ts
+++ b/packages/state-machine/src/types.ts
@@ -156,6 +156,12 @@ export type ATMEvent =
   | { type: 'TIMEOUT' }
   | { type: 'ERROR'; error: string }
   | { type: 'EXCHANGE_RATE_UPDATED'; rate: number }
+  // Operator config events — assigns new fee fractions to context so
+  // subsequent cashIn/cashOut entry actions pick them up. Per coord log
+  // 2026-06-01T18:30Z: subscriber runs during 'awaiting-fees' maintenance
+  // and dispatches this on first valid event, enabling reactive unblock
+  // without a service restart.
+  | { type: 'UPDATE_FEE_CONFIG'; cashInFeeFraction: number; cashOutFeeFraction: number }
 
 /** Initial context values */
 export const initialContext: ATMContext = {