Tasmania has joined the fight against cryptocurrency ATM fraud, revealing that many users have fallen victim to scams.
Scamming Schemes Involving Crypto ATMs
Tasmania Police have noted in their investigations that the top 15 users of crypto ATMs fell victim to scams, with total losses amounting to AUD 2.5 million (approximately USD 1.6 million). Of this amount, over a third, around AUD 592,000, was deposited into crypto ATMs. Detective Sergeant Paul Turner reported that victims were often directed to crypto ATMs by scammers after local financial institutions expressed concerns regarding the transactions.
Rise of Crypto ATMs in Tasmania
The number of crypto ATMs in Tasmania has grown significantly. In 2021, there was only one crypto ATM, but this number has since increased to more than 20. Recent data show that there are currently 24 crypto ATMs operating in Tasmania. The remarkable growth of these devices highlights the popularity of cryptocurrencies among the local population.
Fraud Prevention Measures in Other Countries
Other countries are also taking steps to curb the illicit use of crypto ATMs. For instance, New Zealand has banned crypto ATMs and capped international cash transfers in an effort to disrupt money laundering and organized financial crime. The Spokane City Council in Washington State has also announced a complete ban on crypto ATMs, citing increasing levels of fraud.
The need to combat cryptocurrency ATM fraud is becoming ever more pressing both in Tasmania and beyond, emphasizing the importance of raising awareness and protecting citizens from financial losses.
