No real government agency, bank or tech company will ever ask you to pay with a bitcoin machine. Scammers do it because the money is fast and hard to recover.
What to know
- The FBI received about 13,500 complaints and roughly $389 million in reported losses involving crypto kiosks in 2025.
- Most reported losses at these machines come from people 60 and older.
- Government, bank and tech-support impostors tell victims to withdraw cash and feed it into a crypto ATM.
- Anyone telling you to pay at a crypto ATM, and to stay on the phone while you do it, is a scammer.
Crypto ATMs, also called bitcoin machines or crypto kiosks, sit in gas stations and convenience stores across the country. Feed in cash, scan a code, and the machine sends cryptocurrency to that address. Scammers have learned to use them as a cash pipeline.
The numbers
The FBI’s Internet Crime Complaint Center counted about 13,460 complaints involving crypto kiosks in 2025, with reported losses of roughly $389 million, up about 58% from the year before. People 60 and older accounted for about two-thirds of those losses. The Federal Trade Commission reported a similar pattern earlier: losses at bitcoin ATMs grew roughly tenfold from 2020 to 2023, and older adults were more than three times as likely as younger adults to report losing money this way.
How the script goes
| The call claims to be | The story |
|---|---|
| A government agency | Your Social Security number was used in a crime, and you must “protect” your money |
| Your bank’s fraud department | Your account is compromised and funds must be moved to a “safe” account |
| Tech support | A pop-up says your computer is hacked and your accounts are at risk |
| A relative or lawyer | A grandchild is in jail and needs bail money now |
The caller then tells the victim to withdraw cash, often staying on the phone the whole time, drive to a crypto ATM, and scan a QR code they send. They may coach the victim on what to tell bank tellers.
Red flag
Staying on the line while you withdraw cash and pay a machine is the giveaway. Hang up, call your bank using the number on your card, and talk to someone you trust.
If you’ve already paid
- Call the ATM operator immediately, using the number on the machine or receipt, and ask them to block the transaction or the wallet.
- Keep the receipt; it has the transaction details.
- Report it to local police, the FBI at ic3.gov and the FTC at ReportFraud.ftc.gov.
- Ignore anyone who calls offering to recover the money; see crypto recovery scams.
Scammers also use crypto in longer-running schemes; see how crypto investment scams work.
Common questions
Are crypto ATMs illegal?
No. Operators must register with the Treasury Department’s FinCEN, and many states license them. Several states have added daily transaction limits, warnings and refund rules for new customers because of scams.
Can a crypto ATM payment be refunded?
Usually not, because the crypto goes straight to the scammer’s wallet. Some states now require operators to refund new customers who report fraud quickly, so contact the operator and police right away.
How can I protect a parent?
Talk about this specific scam, agree on a family code word for emergencies, and make it a rule that nobody legitimate asks for payment by crypto, gift cards or wire.
This guide explains how crypto and the related rules work for readers in the U.S. It is not investment, tax or legal advice, and it doesn’t recommend buying or selling any asset. Crypto prices are highly volatile, and laws and agency guidance change; check current official sources and consider professional advice.