Arizona Attorney General Kris Mayes has warned residents about a rise in cryptocurrency ATM scams, which cost victims more than $170 million last year. She launched a new fraud complaint form to help those affected report incidents quickly. The scams typically involve fraudsters directing people to deposit cash into bitcoin kiosks found at everyday locations like gas stations.
Attorney General Kris Mayes issued the alert amid growing concerns over cryptocurrency ATM fraud in Arizona. In a statement, she highlighted the dangers: "Fraudsters are increasingly using bitcoin ATMs to victimize Arizonans—scammers stole more than $170 million from Arizonans last year using these crypto kiosks." Mayes urged caution around the physical machines popping up statewide, noting that any direction to use one likely signals a scam.
These schemes often begin with unsolicited contacts where imposters pose as trusted organizations, such as government agencies or companies, to trick individuals into depositing cash at cryptocurrency ATMs. Once the money is inserted, it converts to crypto and transfers to the scammer's wallet, making recovery extremely difficult due to the technology's anonymity and lack of consumer protections.
Arizona hosts about 600 such ATMs, commonly located in gas stations and grocery stores. The FBI reported a sharp uptick in related complaints in 2024, with many victims aged over 60. To counter this, state laws now cap transaction amounts at these kiosks and provide recovery options for new users who act swiftly.
Mayes advised: "Arizonans should take every precaution when using cryptocurrency ATMs and should never use them to send money to people they don’t know." She emphasized verifying caller identities independently and distrusting any demands for crypto deposits from legitimate sources. Victims should contact the ATM operator, the Attorney General’s Office, or law enforcement within 30 days. Under HB2387, eligible new customers can seek refunds by retaining receipts, filing police reports, and reaching out to the kiosk's support.
