The Federal Trade Commission (FTC) published a report On the rise of Bitcoin ATM fraud. These ATMs allow people to convert their money into cryptocurrency, but they have become a tool for scammers to commit fraud — since 2020, the Federal Trade Commission says Bitcoin ATM fraud has increased nearly tenfold, and in the first half of 2024 alone, consumers lost more than $66 million to these scams.
Scammers use tactics like fake phone calls, messages, and security alerts to convince people that they are in danger, and that they need to deposit money into a Bitcoin ATM to protect it. The scammer may then share a QR code to scan at a Bitcoin ATM, which deposits the money into the scammer’s wallet.