A Federal Trade Commission (FTC) report has revealed that Americans are losing a large amount of money to Bitcoin ATM scams. In fact, the last three years have seen a 1000% increase in the money lost to scammers via Bitcoin ATMs. 30,000 Unregulated Bitcoin ATMs in the US Bitcoin ATMs resemble traditional ATMs but are designed to accept cash in exchange for digital assets. Once this action is completed, the converted money in digital currencies is transferred to a designated crypto wallet. Often, scammers leverage this concept to cheat unsuspecting victims out of their funds, and their activities are increasing at an alarming rate. Crypto consumers claim to have lost more than $114 million through this method in 2023 alone. Scammers prefer this Bitcoin ATM method because of its anonymity and the immediacy of fund delivery. The US currently has the largest number of Bitcoin ATMs, and quite a number of them are unregulated. Australia Records 29-month Streak of Monthly Bitcoin ATM Additions As the number of Bitcoin ATMs in America increases, so does it in other regions. In December 2024, Australia reported a record of 1,359 Bitcoin ATMs operating in its jurisdiction. At the time, this figure represented about 3.5% of all crypto ATMs worldwide. According to Statista data, the number of Bitcoin ATMs globally was over 38,299 as of May 1, 2025. Even with the increasing occurrence of scams, the number of Bitcoin ATMs will likely keep spiking. Tactics Employed by Bitcoin ATM Scammers To deceive users of the Bitcoin ATM, the bad actor usually poses as a law enforcement agent, a government official, or technical support personnel. They create a story strong enough to scare the crypto enthusiast, and then add a tone of urgency to ensure that the victim takes immediate action. On one occasion, a 66-year-old South Carolina-based retired health care worker was told by a scammer posing as an officer with the Beaufort County Sheriff’s Office that she was in contempt of court for missing jury duty. The scammer claimed that there was an arrest warrant out for her. She was told she could pay a $7,500 bond through a Bitcoin ATM to stay out of prison. At another time, a breach could reveal customers’ personal details. The post Americans Lose $114 Million to Bitcoin ATM Scams appeared first on TheCoinrise.com .
