Authorities in Tasmania are escalating efforts to combat cryptocurrency ATM scams following reports of significant financial losses exceeding 2.5 million Australian dollars. More than one-third of these losses are attributed to transactions conducted through crypto ATMs.
Scammers are exploiting the anonymity and rapid transaction speed inherent in crypto ATMs, making it exceptionally difficult for victims to recover stolen funds once transfers are completed.
In response to the rising fraud, the Australian Transaction Reports and Analysis Centre (AUSTRAC) has implemented stricter regulations and transaction limits targeting crypto ATM operators.
The crackdown coincides with a rapid expansion of crypto ATM infrastructure in Tasmania. The state has seen its number of machines surge from just one to over 24, reflecting a national trend that positions Australia as the world’s third-largest market for crypto ATMs.
Globally, jurisdictions are adopting varied approaches to mitigate risks associated with crypto ATMs, ranging from outright bans, as seen in New Zealand, to localized restrictions like those imposed in Spokane, Washington, aimed at combating money laundering and criminal activity.