Attorney General Dave Sunday has issued a warning about a new scam involving Bitcoin ATMs, also known as BTMs, that targets consumers by exploiting their fears of financial loss or criminal charges. Scammers are employing urgent messaging tactics and using personal information to persuade victims to withdraw large amounts of cash and deposit them into Bitcoin ATMs.
Once the funds are deposited, the criminals instruct the victim to scan and send a QR code, effectively granting them access to the money. Unfortunately, this process often results in the victim being unable to retrieve their funds.
These scams typically begin with a communication via phone, text, email, social media, or computer pop-ups. Sunday emphasizes that the scammers aim to create panic and urgency to trick individuals into acting hastily before they realize it’s a scam.
To combat these scams, the Attorney General’s office suggests several precautions:
- Verify Contact: Avoid clicking on links or responding to unexpected communications. Contact companies or agencies directly using information from their official websites.
- Pause and Verify: Scammers often try to rush their targets. It is crucial to slow down, verify the information, and discuss the situation with a trusted individual. Real bank or law enforcement officials will not pressure you to act quickly.
- Suspicious Payment Requests: Be wary of requests for cash withdrawals in response to unexpected communications. Legitimate businesses and government agencies do not ask for payments via Bitcoin, gift cards, or wire transfers.
- Enhanced Bank Protections: Encourage banks to implement more robust protections to prevent scams. Bank personnel are trained to recognize signs of fraud, particularly when large cash withdrawals are requested.
Victims of such scams, or those suspecting fraudulent activities, can reach out to the Office of Attorney General’s Bureau of Consumer Protection via their website, email at scams@attorneygeneral.gov, or by calling 1-800-441-2555 for assistance and to report fraud.
