New forms of currency can open the door to new forms of fraud, and Bitcoin ATM (BTM) scams are on the rise, according to data from the Federal Trade Commission (FTC).
November will mark two years since the crash of the third-largest cryptocurrency brokerage platform, FTX, due to a large-scale fraud that cost its investors millions, but the FTC is now warning of an altogether different type of swindle: smaller in scale and directed at ordinary people, especially the elderly. It’s a scheme that has scammed the unsuspecting out of a total of $66 million in the first half of this year, and that’s only the reported cases.
For those that didn’t read, it’s just that the use of Bitcoin ATMs in your typical ‘oh no! pay us or we have to call the FBI and have your social security number cancelled!’ scams has increased. I wouldn’t say this is a “new form of fraud”, since that scam is as old as well, uh, the internet at least.
Though, I’m honestly not surprised by this, since explaining to grandma how to use what looks like something she’s familiar is probably simpler than explaining how to use Coinbase. Oh, and Coinbase has actual safeguards to try to catch people falling for scams which I’m sure the guy who owns the coiner ATM doesnt.
Right, it’s the whole gift card scam thing, except done with Bitcoin instead of Apple gift cards. I’m surprised there are enough Bitcoin ATMs to make this a real thing.
Yeah I’ve seen one Bitcoin ATM in person, and it was unplugged and had a sign saying it’s broken.
I’m not sure where I’d even go to find one if I had to, but I suppose the scammers have a list or something.
huh, i live in a town North of Denver, so not the city, and i have like 8 of them nearby. half the gas stations that have atms have them.
there is a lot of tech work around here, maybe that’s why.
Yeah gas stations around here are more the elotes and tacos types.
Which is great, because I’d much rather have elotes and tacos than bitcoin.