PHOENIX (AZFamily) — Arizona Attorney General Kris Mayes announced a new online form to help victims report cryptocurrency ATM scams and seek refunds from operators.
Under Arizona law, victims have 30 days to report crypto ATM scams to be eligible for reimbursement from the company operating the machine. The new form on the attorney general’s office website streamlines the reporting process.
Victims should fill out the form, save their ATM receipt and call the phone number listed on the ATM to be eligible for reimbursement.
Hundreds of crypto ATMs operate across Arizona and they have become a primary method for scammers to steal money from victims.
Tamara Glerum lost nearly $28,000 last year after scammers convinced her there was a security issue with her PayPal account. The scammers told her she needed to convert her money to Bitcoin to protect it.
“It really sounded legitimate,” Glerum said. “I was getting really nervous about all of this going on but he seemed like he was legitimate. He said, ‘Don’t worry. I’m not going to take your money. Your money is safe.’”
Her money went directly into the scammer’s account.
Brian Watson, a retired special agent with the IRS Criminal Investigation, said anyone directing victims to use crypto ATMs is running a scam.
“No legitimate company, law enforcement agency, government agency is going to force you to use one of these cryptocurrency ATMs,” Watson said.
Watson noted scammers are moving away from prepaid debit cards sold at big box stores and directing people to cryptocurrency ATMs instead.
While crypto ATMs are legal, one lawsuit against a major operator alleged 93% of deposits were from scam victims.
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