FBI: US Crypto ATM Scams Break $330 Million Last Year, Multiple States Launch Bans

FBI points out that cryptocurrency ATM scam losses in the US are projected to surge to $333 million in 2025, with several states tightening regulations.
(Background: An Australian man discovered an “unlimited withdrawal bug” in ATMs, chartered a private jet to book hotels, and served only one year in prison)
(Additional context: Bitcoin ATMs are required to enforce KYC, with a single transaction limit of $1,000. Wisconsin has introduced new laws to strengthen regulation.)

Seemingly convenient cryptocurrency ATMs are being exploited by criminals as tools to scam the elderly. According to FBI data, from January to November 2025, the total losses nationwide due to crypto ATM scams reached $333 million, a significant increase from $250 million in all of 2024.

Most victims are not young speculators but elderly individuals with a median age of 71. This wave of scams has also prompted local governments to initiate unprecedented regulatory actions.

Losses expand, elderly groups hit hardest

FBI has received over 12,000 related complaints, with the number of victims surpassing 10,000, setting new records in both amount and number of people affected.

The US currently hosts about 80% of the world’s crypto ATM network. While this scale offers advantages, it also amplifies scammers’ opportunities to target vulnerable groups. Financial crime experts note that seniors are unfamiliar with instant transfer mechanisms and private key access concepts. As long as scammers use fake bills, romance scams, or fake investment channels to lure them, it’s difficult for the elderly to recognize the risks in a short time.

Washington State takes the lead, bans spread nationwide

In response, Spokane, Washington, enacted a comprehensive ban on crypto ATMs in January 2026, becoming the first city in the US to do so, citing that the “uncertain risks outweigh the convenience” of such services. Additionally, Arizona, Arkansas, Vermont, and St. Paul, Minnesota, are considering follow-up measures.

Proposed legislative drafts mainly focus on identity verification, single-transaction and daily limits, and even regional suspensions. Although the Trump administration was relatively friendly toward the crypto industry, local levels show that protecting vulnerable consumers has become a more urgent political priority.

The tug-of-war between convenience and security continues, but under security and electoral pressures, the crypto ATM market seems to be entering a compliance winter.