Arizona Attorney General Issues Warning as Crypto ATM Scams Hit Older Adults

Arizona Attorney General Kris Mayes has issued a severe public warning regarding a dramatic increase in scams utilizing cryptocurrency ATMs, predominantly targeting older adults across the state. These sophisticated financial crimes exploit the victims’ lack of familiarity with digital currencies while leveraging tactics of intimidation and impersonation.

### Mechanics of the Scam

The typical scam involves perpetrators impersonating trusted authorities, such as Internal Revenue Service (IRS) agents, Social Security representatives, utility company employees, or even law enforcement officials. The scammer contacts the victim and creates an immediate, high-pressure situation, often threatening immediate arrest, service disconnection, or severe financial penalties if a payment is not made instantly.

Crucially, the scammer instructs the victim to withdraw large sums of cash and then deposit the money into a nearby cryptocurrency ATM, treating the machine like a standard money transfer kiosk. Once the cash is deposited and converted to crypto, the funds are virtually impossible to trace or recover.

### AG Mayes’s Warning

Attorney General Mayes emphasized that legitimate government agencies and utility providers will never demand immediate payment via nontraditional methods like cryptocurrency, gift cards, or wire transfers. She urged Arizonans to be skeptical of any caller who demands instantaneous payment under the threat of punishment.

“If someone is threatening you with immediate arrest or utility shutoff unless you pay them instantly through a crypto machine, that is a scam,” Mayes stated in the advisory. She further noted that seniors are often selected because they are less likely to understand how cryptocurrency operates, making the demand seem urgent but vaguely plausible.

### How to Protect Yourself

The Attorney General’s Office advises residents to follow several key preventative measures:

1. **Verify Identity:** Hang up immediately and call the organization back using a publicly listed, official phone number to verify the claim.
2. **Never Pay with Crypto:** Recognize that government agencies and utilities do not accept cryptocurrency for debt settlement.
3. **Resist Pressure:** Legitimate organizations do not demand immediate payment under threats.

Arizona residents who have encountered or fallen victim to a crypto ATM scam are encouraged to report the incident immediately to the Attorney General’s Consumer Protection Division.

Source: Arizona Attorney General Issues Warning as Crypto ATM Scams Hit Older Adults