Bitcoin ATMs are a hotbed for scams, FTC says

The Federal Trade Commission (FTC) published a report about increasing fraud at Bitcoin ATMs. These ATMs allow people to turn their cash into crypto, but they’ve become a tool for scammers to perpetrate fraud. Since 2020, the FTC says, fraud at Bitcoin ATMs has ballooned nearly tenfold, and just in the first half of 2024, […]
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The Federal Trade Commission (FTC) published a report about increasing fraud at Bitcoin ATMs. These ATMs allow people to turn their cash into crypto, but they’ve become a tool for scammers to perpetrate fraud. Since 2020, the FTC says, fraud at Bitcoin ATMs has ballooned nearly tenfold, and just in the first half of 2024, consumers have lost over $66 million to these scams.

Scammers use tactics like fake phone calls, messages, and security alerts to convince people that they’re in danger, and that they should deposit cash into a Bitcoin ATM to protect it. Then, the scammer may share a QR code to scan at the Bitcoin ATM, which deposits the cash into the scammer’s wallet.

 


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