Crypto scams are on the rise in North Dakota. Scammers are using crypto ATMs to get money from victims. They make fake police calls, saying people will be arrested if they don’t pay up to $2,000 in crypto.
The scammers guide victims to crypto ATMs in stores and public spaces. Then, they tell them exactly what to do to make the payment. This scam has happened over 30 times, says the Stanley County Sheriff’s Office.
To seem legit, scammers fake police phone numbers and emails. But officials say they’d never ask for crypto or gift cards. A state court administrator warns, “Those are clear red flags.”
One person lost $4,000 in this scam. The Sheriff’s Office is still looking for the people behind it.
Crypto ATM Scams Work Like a Reverse Lottery
Scammers make hundreds of calls a day, hoping a few people will fall for it. They use emotional pressure to get people to pay. Many victims end up at a Bitcoin ATM, sending money without a way to get it back.
The Better Business Bureau says these scams exploit people’s lack of tech knowledge, especially among older adults. The AARP is pushing for regulations on crypto ATMs in North Dakota.
Urgent Call for Regulation
The AARP wants the governor to sign a bill that would let the state oversee crypto ATM operators. This would require licenses, fraud warnings on machines, and detailed receipts.
AARP’s director in North Dakota says, “These machines look like regular ATMs, and people think they’re safe.” But once money is sent to a scammer’s wallet, it’s gone for good.
The debate on regulating crypto ATMs is heating up across the US. Australia is also taking action against crypto ATM providers to fight money laundering.
