The **FBI** has released a supplement to its annual Internet Crime Complaint Center (**IC3**) study, highlighting the growing use of cryptocurrency ATMs in fraudulent schemes. Criminals are increasingly directing victims to these kiosks to convert cash into cryptocurrency and send the funds, resulting in substantial financial losses. ### Explosive Growth in Kiosk-Related Fraud In 2025, the IC3 received over 13,400 complaints involving cryptocurrency kiosks, with reported losses exceeding $388 million. This represents a 23% increase in complaints and a 58% surge in losses compared to 2024. The report indicates that individuals over 50 are disproportionately targeted, accounting for over $302 million in losses. It's important to note that the FBI's data includes instances where a cryptocurrency kiosk was involved in the scam, but may also encompass other transaction types. ### Geographic Distribution of Losses The report details significant losses across various states. Texas leads the list with 1,179 reports and nearly $57 million in losses, followed by Florida with 1,213 reports and $32.7 million in losses. California and Illinois both reported losses exceeding $20 million, while Arizona, New Jersey, North Carolina, Pennsylvania, Tennessee, Kentucky, Michigan, and Ohio each experienced losses in the eight-figure range. These kiosks are typically found in easily accessible commercial locations such as gas stations, grocery stores, and shopping malls. ### Regulatory Scrutiny and Crackdowns The U.S. Treasury Department previously warned about the increasing use of cryptocurrency ATMs in cyber thefts, often involving fake investment schemes, tech support scams, or romance scams orchestrated by Chinese gangs operating from Southeast Asia. Several states are taking action to curb the use of these ATMs. Tennessee banned cryptocurrency ATMs last month, and Indiana outlawed them in March. Minnesota is considering similar legislation. State attorneys general have also launched investigations into the crypto kiosk industry. A lawsuit filed by Massachusetts against **Bitcoin Depot**, a major kiosk provider, revealed that over 80% of contacted customers had been victims of scams. Iowa has also sued Bitcoin Depot and **CoinFlip**, alleging they profit from scams, while Washington, D.C., sued **Athena**, claiming 93% of its transactions in the district were scam-related. Internationally, New Zealand banned all crypto ATMs last year, and Australia is considering legislation to set spending limits and address fraud. [!Recorded Future](https://cms.therecord.media/uploads/2025_0514_Record_Ads_970x250_1_d144dbf901.png) [Jonathan Greig](https://cms.therecord.media/uploads/DSC_0283_1_a6f4e4e315.jpg)