Scam Prevention and Bitcoin ATMs: How CoinMover Is Leading the Charge to Protect Consumers
Cryptocurrency offers a revolutionary way to manage money—but like all powerful tools, it can be misused in the wrong hands. According to a recent Federal Trade Commission (FTC) report, scammers are increasingly targeting Bitcoin ATM users, with reported losses soaring over 1,000% in the last three years. In 2023 alone, victims reported more than $114 million lost through Bitcoin ATM-related scams.
At CoinMover, we view this not just as a statistic, but as a call to action.
Understanding the Scam Tactics
Bitcoin ATMs, including those operated by CoinMover, allow users to purchase cryptocurrency by inserting cash. Unfortunately, because crypto transactions are fast, irreversible, and anonymous, they have become a favorite tool for scammers.
The most common scams involve imposter tactics—criminals pretending to be government officials, law enforcement officers, or tech support agents. These fraudsters create a false emergency, often threatening arrest, frozen bank accounts, or data breaches to pressure victims into withdrawing cash and depositing it into a scammer’s wallet via a Bitcoin ATM.
For example, earlier this year, a retired healthcare worker in South Carolina was told she had missed jury duty and needed to pay a $7,500 “bond” immediately through a Bitcoin ATM to avoid arrest. She complied—unaware she was being scammed. According to the FTC, individuals over 60 are three times more likely to report such scams, with average losses nearing $10,000 per victim.
What CoinMover Is Doing About It
CoinMover takes scam prevention seriously. Our mission is not only to provide secure and accessible cryptocurrency transactions—but also to protect our users from fraud. Here's how we're taking action:
✅ ATM Warnings and Education
We display clear on-screen warnings before every transaction, advising customers not to proceed if someone is pressuring them or providing a QR code. We also encourage users to contact CoinMover support or law enforcement if they suspect a scam.
✅ Staff Training & Surveillance
CoinMover regularly trains its support and compliance teams to recognize the patterns of ATM-related scams. When suspicious activity is detected, transactions can be flagged, investigated, and potentially frozen before funds are transferred.
✅ Transaction Limits & Delays
To prevent high-pressure scam tactics, CoinMover has implemented transaction limits and cooling-off periods for new customers—especially when suspicious patterns emerge. Scammers often instruct victims to send multiple deposits in quick succession. We’re working to stop that.
✅ User Verification & Monitoring
All transactions are subject to Know Your Customer (KYC) and Anti-Money Laundering (AML) protocols. This not only complies with existing laws—it also adds a layer of protection for legitimate users.
✅ Support for Smart Regulation
We support reasonable legislation like Arizona’s proposed House Bill 2387, which would require Bitcoin ATMs to show fraud warnings, issue traceable receipts, limit deposits in new accounts, and improve operator transparency. These are exactly the types of consumer protections CoinMover already practices—and we’re ready to help raise the industry standard.
Your Safety Is Our Priority
As one of the most experienced Bitcoin ATM operators in the country, CoinMover is committed to doing everything possible to protect you from scammers. We believe in cryptocurrency’s potential, but only when used responsibly and securely.
If you or someone you know has been targeted by a scam, contact CoinMover Support immediately or call your local law enforcement agency. Never send money to anyone using a Bitcoin ATM without independently verifying who they are and why they’re asking.
