San Diego Targets Crypto Scams Targeting Seniors With Warning Signs
San Diego may soon become the first city in California to take action against cryptocurrency scams targeting seniors. City officials say scammers persuade victims, mostly senior citizens, to send money using ATMs that handle cryptocurrency, which can be difficult to trace.
The proposed law would require warning signs at all 110 cryptocurrency ATMs operating in San Diego, stating 'Warning: Cryptocurrency May Be Used for Scams' and providing guidelines on how to identify potential scams. Similar warning signs required by the city of Omaha in Nebraska reduced ATM cryptocurrency scams by 80% in one year.
The law would apply to existing crypto ATMs and any new ones that begin operating in the future, with a focus on educating seniors about the risks associated with these transactions. Council President Joe LaCava plans to launch a city website and community education campaign about crypto ATM scams, which will also allow people to report ATMs lacking warning signs.
AARP officials said roughly two-thirds of the $389 million lost in crypto ATM scams last year was lost by seniors, who often lack digital savvy and are targeted due to their isolation. The new law aims to prevent such losses and provide a clear opportunity for victims to reconsider sending money.