- Arizona warns of rising crypto ATM scams after residents lost over $177M in 2024.
- FBI data shows crypto ATM fraud complaints surged 99%, with seniors most affected.
- New Arizona laws cap crypto ATM transfers and allow recovery if scams are reported fast.
Arizona Attorney General Kris Mayes has issued a statewide warning over a surge in crypto ATM scam activity, as her office launches a new fraud complaint form aimed at improving recovery chances for victims who report losses quickly.
The alert follows a rise in reported cryptocurrency ATM scam losses across Arizona. According to the Attorney General’s Office, residents lost more than $177 million in 2024 after being directed to deposit cash into cryptocurrency kiosks controlled by fraudsters. Older adults accounted for a large share of the reported cases.
Cryptocurrency ATM Scam Losses Rise Across Arizona
Mayes said scammers are increasingly exploiting the huge expansion of cryptocurrency ATMs, which now number roughly 600 machines statewide. These kiosks, often located in gas stations, grocery stores, and convenience stores, resemble traditional bank ATMs but lack many consumer safeguards.
“Anyone being instructed to use a cryptocurrency ATM faces a very high likelihood of a scam,” Mayes said, warning that once funds are deposited, recovery is often difficult.
Federal data support the trend. The Federal Bureau of Investigation reported a 99% year-over-year increase in cryptocurrency ATM fraud complaints in 2024. More than two-thirds of victims were over the age of 60.
How Cryptocurrency ATM Scams Typically Operate
State officials said a cryptocurrency ATM scam commonly begins with an unsolicited phone call, email, or text message. Scammers often pose as law enforcement officers, utility providers, financial institutions, or even distressed family members.
Victims are told they face urgent legal or financial consequences and are instructed to withdraw cash from their bank accounts. The funds are then deposited into a crypto ATM and transferred directly to the scammer’s digital wallet, leaving little opportunity for reversal.
Similar concerns have surfaced outside Arizona. The Attorney General of Washington, D.C., recently filed a lawsuit against Athena Bitcoin, alleging that 93% of deposits made at its machines were tied to scams.
Arizona has enacted new limits on the amount of money that can be sent through cryptocurrency ATMs. The law also provides a pathway for certain victims to recover funds, provided they contact the Attorney General’s Office or law enforcement within 30 days of the transaction.
Mayes urged residents to treat any request for payment through a cryptocurrency ATM as suspicious. In addition, officials noted that no legitimate company or government agency will request deposits through these machines and encouraged consumers to independently verify any urgent financial demands.
Related: Crypto ATM Scams Surge Across U.S. as 2025 Losses Reach $333 Million
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Source: https://coinedition.com/arizona-ag-warns-of-surge-in-crypto-atm-scams/
