Americans lost nearly $389 million to cryptocurrency ATM scams in 2025, according to newly released state-level data from the FBI's Internet Crime Complaint Center (IC3). Complaints rose 45% from 2024, while reported losses jumped 67%, marking crypto ATM fraud as one of the fastest-growing forms of crypto-enabled financial crime.
How the Scams Work: Impersonation + QR Code Transfers
Crypto kiosks themselves are legal, but organized criminal groups exploit their speed, irreversibility and widespread retail presence. Victims typically receive unsolicited phone calls, emails, texts or social media messages. Scammers impersonate government agencies, law enforcement, utility companies, or technical support, demanding immediate payment. Victims are told to withdraw cash from their bank, visit a nearby crypto ATM, scan a QR code provided by the fraudster, and deposit the cash into a cryptocurrency wallet controlled by the criminals. Once the blockchain confirms the transaction, recovery is far harder than reversing a bank transfer or credit card payment.
The FBI emphasizes that no legitimate government official will ever demand payment through a crypto kiosk — a key red flag.
Older Adults Bear the Brunt: 80% of Losses
More than half of all complaints involved victims aged 50 or older, who collectively reported losses exceeding $310 million, accounting for roughly four-fifths of total crypto ATM scam losses. Scammers often target seniors unfamiliar with crypto and more trusting of authority figures, applying constant pressure until the transfer is done.
Common warning signs include victims arriving at kiosks after an unsolicited call or online message, carrying a QR code they cannot explain, withdrawing unusually large amounts for the first time, or remaining on a mobile phone call while depositing cash.
Fraud Hits Every State, With Five Leading
State-level data shows crypto ATM fraud is no longer concentrated in a few jurisdictions. Every state reported victims in 2025. The highest losses came from Texas, Florida, California, Illinois, and New Jersey, together totaling well over $150 million. From Alaska to Puerto Rico, scammers use increasingly sophisticated social engineering to direct locals to crypto kiosks.
Regulators Step Up; Operators Install Safeguards
The surge in complaints has prompted multiple states to introduce legislation limiting transaction amounts, mandating fraud warnings, and requiring additional safeguards for first-time users. Law enforcement has expanded public awareness campaigns. Financial institutions are encouraged to flag unusual large cash withdrawals by customers — especially older ones — who appear to be directed by someone on the phone.
Many kiosk operators have deployed transaction monitoring, warning screens and fraud detection systems to interrupt suspicious transactions. The FBI advises consumers never to send crypto to someone they have only met online, never to follow instructions from unknown callers directing them to a crypto ATM, and never to trust payment demands from supposed government or utility entities. If money has already been lost, save receipts, wallet addresses, and transaction IDs to help investigators when filing a complaint with the IC3.
With losses approaching $400 million in one year and complaint volumes climbing sharply, crypto ATMs — while still legitimate services for many — have become a key battleground in the fight against investment fraud, impersonation scams and organized financial crime.