[Bitcoin Now] Bitcoin ATM Phishing Surges in US... $480 Million in Losses This Year

"Recovery of Lost Funds Nearly Impossible"

In the United States, there has been a sharp increase in phishing scams involving 'Bitcoin ATMs.'

AFP Yonhap News

According to ABC News on December 30 (local time), the Federal Bureau of Investigation (FBI) announced that reports of Bitcoin ATM scam losses reached $333.5 million (approximately 481 billion won) through November this year. This figure represents an increase of about 33% compared to the $250 million reported for Bitcoin ATM scam losses in the entire previous year.

There are more than 45,000 Bitcoin ATMs installed across the United States. These kiosks allow users to deposit cash, which is then instantly transferred as Bitcoin to a designated digital wallet, transcending national borders. The typical scam involves perpetrators impersonating government agencies, banks, telecommunications companies, IT firms, or lawyers, and contacting victims through phone calls, text messages, or emails that appear to be urgent. The scammers send QR codes, links, or phone numbers, claiming that the victim needs to resolve a problem. If the victim is deceived and scans the code at the ATM and deposits cash, the Bitcoin is sent to the scammer's digital wallet. Once sent, the Bitcoin is nearly impossible to recover.

The FBI Internet Crime Complaint Center (IC3) stated in its annual report that, including such Bitcoin ATM phishing scams, there were a total of 859,000 reports of virtual asset fraud last year, with reported losses amounting to $16.6 billion-a 33% increase compared to the previous year. Notably, losses among victims aged 60 and older reached $5 billion.

Virtual assets are increasingly being exploited for fraud because they can be transferred in real time anywhere in the world and are difficult to track or recover. According to ABC News, the Office of the Attorney General for Washington, D.C. claimed in a lawsuit filed in September against Athena Bitcoin, the largest Bitcoin ATM provider in the United States, that 93% of transactions conducted through the company's ATMs were "the product of outright fraud."

The company responded, "Just as banks are not responsible when someone voluntarily transfers money to another person, Athena does not control users' decisions."