Arizona Attorney General Kris Mayes has launched a new fraud complaint form and issued a public warning regarding a surge in scams exploiting the state’s roughly 600 cryptocurrency ATMs. Officials report Arizonans lost over $177 million to these schemes in 2024, which often involve impostors pressuring victims, many over age 60, to deposit cash at kiosks. The action aligns with national data showing Americans lost $246 million to crypto ATM fraud last year, prompting increased regulatory scrutiny of the machines.
Attorney General Kris Mayes warned that anyone directing consumers to use cryptocurrency kiosks represents a “very, very high chance” of running a scam. Her office also launched a new complaint form for victims, urging them to report losses within 30 days to improve recovery odds.
Americans reported $246 million in losses linked to crypto ATMs in 2024, with about 43% of victims over age 60, according to FBI data. The scams typically start with urgent calls from impostors claiming to be law enforcement or loved ones, pressuring victims to deposit cash into machines.
Cybercrime consultant David Sehyeon Baek explained that crypto ATMs are uniquely risky. “Unlike exchanges or wallets, he explained, there’s usually no account, no fraud desk, and no cooling-off period, so once the money is sent, it’s effectively gone,” Baek said.
Arizona enacted a law last year requiring crypto ATM operators to display fraud warnings and provide live customer support. The legislation also caps daily transactions at $2,000 for new customers and $10,500 for existing users, as mentioned in the state’s announcement.
The regulatory actions extend beyond Arizona, with jurisdictions like Illinois and Spokane implementing similar restrictions. Operators have faced enforcement actions, including a recent $1.9 million settlement involving Bitcoin Depot with Maine regulators.
Mayes advised that no legitimate company or government will ever request crypto ATM deposits. She urged consumers to independently verify any urgent payment requests and consult trusted advisors before large transactions.
