Crypto ATM scams are on the rise across Australia, with fraudsters specifically targeting older citizens by tricking them into converting cash into cryptocurrency and sending it to criminal wallets. According to a new alert from local authorities, scammers are using fear tactics—often impersonating government agencies or tech support—to convince seniors they owe money or face legal action.
Once victims are panicked, they’re instructed to withdraw large amounts of cash and deposit it into crypto ATMs. These machines then convert the funds into Bitcoin or other cryptocurrencies and send them directly to addresses controlled by scammers. Because of the irreversible nature of blockchain transactions, once the money is gone, it’s nearly impossible to recover.
Police departments in New South Wales, Victoria, and Queensland have reported a sharp spike in such cases over the past six months. Many of the victims are in their 60s and 70s, unfamiliar with how cryptocurrency works and easily overwhelmed by the pressure tactics used by scammers.
In some cases, scammers pose as ATO (Australian Taxation Office) officers, telling victims they owe unpaid taxes. In others, they claim to be from banks or Microsoft, warning of suspicious activity that requires “urgent action.” Their solution? Head to the nearest crypto ATM and “secure” your money.
Police Say Scammers Use Fear to Bypass Logic
Authorities have shared that scammers deliberately avoid targeting younger, tech-savvy individuals. Instead, they focus on those who may not question unusual financial instructions, especially if delivered in an urgent, official-sounding tone.
In one incident, an 82-year-old Sydney woman was told by a fake tax officer that her bank accounts were compromised. She was directed to withdraw $10,000 and send it through a crypto ATM to protect it—losing her savings within minutes.
Australian police have issued fresh warnings to the public:
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Never send crypto payments based on phone calls or emails
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Government bodies will never ask for crypto payments
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If in doubt, hang up and call the official agency directly
Banks and consumer watchdogs are also being urged to help spread awareness, especially to vulnerable groups. Education campaigns and ATM signage are being proposed to prevent more victims from falling into this trap.
As crypto adoption grows, scammers are adapting fast, using new technology to target the less tech-aware. And in countries like Australia, where crypto ATMs are common in convenience stores and shopping centers, the risk is spreading faster than expected.