Crypto ATMs Exposed as Likely Scam Targets Amid $388M Losses
The Commodity Futures Trading Commission (CFTC) has issued a consumer protection alert warning that requests to make payments via cryptocurrency ATMs are likely fraudulent schemes. According to data collected by the FBI, over $388.9 million in losses were linked to these machines in 2025, with victims aged 50 and above accounting for more than half of the total stolen.
The CFTC points out that no legitimate government agency, bank, or corporation requests deposits through digital asset terminals. Instead, cybercriminals use impersonation tactics, such as pretending to be tax authorities or technical support, to threaten users with account freezes and guide them to nearest physical kiosks.
Once on-site, victims are provided QR codes linked to external wallet addresses controlled by the scammers. The CFTC notes that these transactions are immediate and irreversible once confirmed on the blockchain network, making it impossible for financial institutions to cancel payments or reverse funds.