Arizona Attorney General Kris Mayes has issued an urgent public warning and launched a new fraud complaint form following a surge in cryptocurrency ATM scams that have disproportionately affected older adults. The state's enforcement push comes as Arizonans reported losses exceeding $177 million to such scams in 2024 alone.
The scams typically begin with unexpected calls or texts from impostors posing as law enforcement, utility companies, or family members in distress. Victims are pressured to withdraw cash and deposit it into crypto ATMs under false pretenses. According to FBI data cited by officials, Americans lost $246 million nationwide to crypto ATM fraud in 2024, with about 43% of victims over the age of 60.
"My message to Arizonans is this: be careful around the physical cryptocurrency ATMs we're seeing pop up around the state," Mayes stated. She emphasized that anyone directing a consumer to use a crypto kiosk represents a "very, very high chance" of running a scam.
To combat this, the Attorney General's office introduced a dedicated complaint form, urging victims to report scams within 30 days to improve the odds of fund recovery. This initiative is supported by a new state law enacted last year that regulates crypto kiosk operators. The legislation mandates multilingual fraud warnings on machines, requires 24/7 live customer support, and caps daily transactions at $2,000 for new customers and $10,500 for existing users.
Cybercrime consultant David Sehyeon Baek explained the inherent risks: "Crypto ATMs aren't just risky because people don't understand crypto; the machines themselves are built in a way that scammers can easily abuse." He noted that, unlike exchanges, these transactions usually have no account, fraud desk, or cooling-off period, making funds effectively irrecoverable once sent.
The crackdown is part of a broader national trend. With over 31,339 crypto ATMs installed across the U.S., jurisdictions like Spokane and Illinois have implemented similar restrictions. Enforcement actions against operators are also increasing, highlighted by a recent $1.9 million settlement between Bitcoin Depot and Maine regulators over scam-related transactions.
Mayes concluded with a clear warning: no legitimate company or government agency will ever request payments via a crypto ATM, urging consumers to independently verify any urgent payment requests.
