Australian Authorities Crack Down on Crypto ATM Scams
The Australian Federal Police (AFP) have initiated a significant operation targeting the misuse of cryptocurrency ATMs, reaching out to over 90 individuals across the country. This effort aims to address the growing concern surrounding the exploitation of these machines in criminal activities, including cases involving victims of a specific scam known as “pig butchering.” Among those affected is a 77-year-old widow who reportedly lost a staggering 433,000 Australian dollars (approximately $281,947) in a fraudulent online dating scheme, as disclosed by Australia’s financial intelligence agency, AUSTRAC.
Victim’s Heartbreaking Experience
The widow, whose story was highlighted by the Australian Broadcasting Corporation (ABC), was unaware that the Belgian man she had been corresponding with for two years was a con artist until law enforcement intervened. The scammer manipulated her into investing in Bitcoin (BTC) by presenting fabricated documents that falsely indicated he had earned 13,000 Australian dollars ($8,464) in just one week. For her initial transaction, the scammer guided her through withdrawing cash from a traditional ATM, which she then deposited into a Bitcoin ATM. Over the course of 18 months, she transferred her entire life savings, becoming increasingly adept at navigating the Bitcoin ATM process, often handling cash amounts as high as 20,000 Australian dollars ($13,023) at a time.
Additional Victims Identified
The emotional toll of the scam was profound, as the victim recounted the difficulty of informing her daughter about the loss of her hard-earned savings accrued over four decades. AUSTRAC CEO Brendan Thomas also noted the case of another woman in her 70s, who was deceived by what she believed to be a legitimate trading firm advertisement, resulting in a loss exceeding $200,000.
Law Enforcement Actions
In the course of this crackdown, Australian police focused on frequent users of crypto ATMs who appeared to be at risk of engaging in illicit activities or falling victim to scams. Authorities specifically contacted 21 individuals suspected of either being victims of crypto ATM scams or participating in unlawful activities associated with the machines. Thomas remarked on the disturbing trend that most of the transactions referred to law enforcement involved victims rather than perpetrators. One individual has been charged with property laundering, while four others received formal warnings for their suspected involvement in drug purchases or acting as money mules for criminal enterprises.
Australia’s Crypto ATM Landscape
Australia ranks third globally in terms of the number of crypto ATMs, boasting a total of 1,871 machines according to Coin ATM Radar. Nonetheless, some individuals suspected of being money mules may have been unwitting victims, either assisting criminals without realizing it or attempting to recover funds they had previously lost. The AFP indicated that a reluctance to admit to being scammed contributes to the complexity of these cases.
New Regulations and Warning Signs
This crackdown aligns with AUSTRAC’s recent implementation of new operational regulations and transaction limits for crypto ATM operators, which came into effect on June 3. The agency had previously identified cryptocurrency as a priority area for its initiatives in 2025. AFP Commander Graeme Marshall emphasized that scam victims often fall prey to deceptive promises involving love, employment, investment opportunities, or quick financial gains.
Important Advice for the Public
Marshall urged individuals to be vigilant, advising that if they encounter any guarantees of rapid profits, experience high-pressure tactics, or are contacted by someone they have never met in person, they should immediately cease communication and report the interaction. He reiterated the importance of awareness, stating that if anyone is asked to make payments using cryptocurrency by a business or government entity, they should refrain from sending any money. Between January 2024 and January 2025, Australia’s online cybercrime reporting platform, ReportCyber, recorded 150 distinct reports of scams related to crypto ATMs, with total losses surpassing 3.1 million Australian dollars (around $2 million).
