Bitcoin ATM Fraud Hits Record Levels in 2025, FBI Warns

Bitcoin ATMs have quietly become one of the fastest-growing tools for financial fraud in the United States, with new data showing losses accelerating sharply through 2025.

According to figures released by the Federal Bureau of Investigation, scammers extracted hundreds of millions of dollars from victims by exploiting fear, urgency, and the growing presence of crypto kiosks nationwide.

Rather than hacking wallets or exchanges, many criminals relied on simple social engineering. Victims were often contacted by phone and told that their bank accounts, tax records, or company accounts had been compromised. The solution, scammers claimed, was to “secure” funds immediately by depositing cash into a Bitcoin ATM — money that was, in reality, routed straight into wallets controlled by fraud networks.

Bitcoin ATMs Become a Prime Target

The scale of the problem has grown alongside the machines themselves. With more than 30,000 Bitcoin ATMs operating in the U.S. by 2024 — the vast majority of all such machines globally — access has never been easier. That convenience has also lowered the barrier for scammers, who no longer need victims to understand crypto exchanges or wallets.

The FBI’s Internet Crime Complaint Center recorded more than 12,000 Bitcoin-ATM-related complaints during 2025 alone.

Reported losses tied specifically to these scams surged to roughly $333.5 million, marking a steep increase from prior years and continuing a multi-year upward trend. For context, losses linked to Bitcoin ATMs were reported at $78 million in 2022 and $114 million in 2023 — meaning the damage has more than tripled in just three years.

Importantly, authorities note these figures reflect only reported cases. Actual losses are likely higher.

Why Victims Keep Falling for It

Data from the Federal Trade Commission shows that crypto scams consistently result in far higher losses than traditional fraud. In 2024, the median loss tied to digital-asset scams was $5,400, compared with just $447 for general fraud.

Older adults have been hit especially hard. In the first half of 2024 alone, individuals aged 60 and above accounted for hundreds of reported Bitcoin ATM fraud cases, losing tens of millions of dollars. In some of the most disturbing cases, scammers used AI-generated voice deepfakes impersonating family members, claiming they were in legal trouble and urgently needed Bitcoin for release.

Regulators Urge Caution — and Slowing Down

Both the FBI and FTC emphasize that legitimate banks, government agencies, and businesses do not demand payments via Bitcoin ATMs. Any unsolicited request to deposit cash into a crypto kiosk is a major red flag.

Authorities urge consumers to pause, verify independently with trusted contacts or financial institutions, and never allow themselves to be rushed into a transaction. The irreversible nature of Bitcoin transfers — one of the technology’s core features — makes ATM-based scams especially damaging once funds are sent.

As Bitcoin ATMs continue to spread, regulators warn that education, vigilance, and skepticism are the most effective defenses. The machines themselves are not the threat — but in the hands of criminals, they have become a powerful tool for exploiting panic, trust, and unfamiliarity with digital assets.

The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

Related stories

Next article