Arizona State Attorney General Kris Mayes has issued a statewide warning about crypto ATM scams, which will see Arizonans lose more than $177 million in 2024. According to the statement made by Mayes’ office, a new complaint form has been made available as scammers continue to target various segments of the population. Thanks to this form, victims will be able to report the incidents they have been exposed to within 30 days.
Increasing Fraud and Regulatory Regulations on Crypto Kiosks
Kris Mayes is a politician who has held senior positions in the field of law for many years and began serving as Arizona’s attorney general in 2023. In his statement, Mayes particularly emphasized the need to be careful when using crypto ATMs. It has been reported that in recent months, there has been a huge increase in complaints about crypto kiosk scams not only in Arizona but also across America.
According to data from the Federal Bureau of Investigation (FBI), complaints related to such scams nearly doubled in 2024, reaching a total of $246 million. While legal efforts to combat the issue are gaining momentum, new regulations for both the sector and the fight against fraud have come into force in various states.
Kris Mayes said, “You should take every precaution when using cryptocurrency ATMs and should never send money to people you do not know. If you think you are the victim of fraud, report it.”
There are approximately 600 crypto ATMs in Arizona, and fraudsters often call victims and pose as banks, security forces or their relatives; It was reported that he then pressured people to deposit money into these ATMs. According to data shared by Scottsdale police, a total of $5 million has been lost due to fraud in the city since the beginning of the year.
New Legal Limits and Corporate Collaborations
It was stated that within the scope of the legal regulation regarding crypto kiosks in Arizona, a daily transaction limit of $ 2,000 was imposed on new customers and $ 10,500 for existing users. This practice is in effect from September 2025. Additionally, authorities began to warn citizens by placing “Stop” signs on ATMs.
Another legal regulation stated that operators are obliged to provide full refunds to fraud victims if they submit a complaint and a police report within 30 days. Arizona Governor Katie Hobbs signed the law establishing a state Bitcoin reserve fund in support of the attorney general’s initiatives. The source of this reserve fund will be unclaimed digital assets.
“If someone is directing you to use a crypto ATM, there is a very high chance you will be defrauded,” said Attorney General Mayes.
Regulatory Steps in the USA and Worldwide
With the developments in Arizona, legal processes for the crypto ATM sector have accelerated across America. A lawsuit was filed against Athena Bitcoin company by Attorney General Brian Schwalb in Washington DC. Investigations claimed that 93% of the company’s transactions in the city in its first five months were linked to frauds. It was stated that Athena Bitcoin did not provide refunds to aggrieved customers and charged high hidden transaction fees.
Federal prosecutors also charged the CEO of Chicago-based Crypto Dispensers with money laundering, while some officials in New York also called for criminalizing unlicensed crypto operations. Internationally, New Zealand has imposed a complete ban on crypto ATMs. It was noted that in Australia, the government took additional precautions by defining these ATMs as “high risk”.
It was stated that these developments in the crypto ATM sector are closely monitored by both local and national regulations and new restrictions have been introduced in many countries.
