Bitcoin ATM Scams Surge, FTC Warns

The Federal Trade Commission (FTC) has issued a warning about a surge in Bitcoin ATM scams, with reported losses exceeding $65 million in the first six months of 2024. This trend, if it continues, will surpass the $114 million lost in 2023, almost double the amount from 2022.

How It Works

The scams typically involve a call or email claiming suspicious activity on a financial account or a notification from a company like Microsoft or Apple claiming a payment issue. The scammer then demands immediate action, often using a sense of urgency and threat to scare the victim into using a Bitcoin ATM to resolve the supposed crisis.

The Rise of Bitcoin ATMs

The number of Bitcoin ATMs has increased dramatically over the past five years, from 4,250 in January 2020 to 32,000 in June 2024. This increase has unfortunately provided scammers with a convenient way to exploit unsuspecting individuals.

Who is Most Vulnerable?

Individuals over 60 are disproportionately targeted by these scams, as they are often more susceptible to pressure and urgency tactics.

Protecting Yourself

The FTC offers the following tips to protect yourself from Bitcoin ATM scams:

**Slow down:** Most scams rely on creating a sense of urgency and panic. Taking your time and talking to a trusted friend or family member can help you think clearly and avoid making rash decisions.
**Remember:** Legitimate businesses and government agencies will never demand that you use a Bitcoin ATM to resolve a dispute or pay a debt.
**Be wary of unsolicited calls and emails:** If you receive a call or email claiming to be from a legitimate organization, verify the information with the organization directly before taking any action.