A targeted operation by Australian federal police (AFP) has uncovered widespread abuse of crypto ATMs, with authorities contacting over 90 individuals as part of a crackdown on scams and illegal transactions. Among the most heartbreaking cases is that of a 77-year-old widow, who lost AU$433,000 (US$281,947) to a long-running online romance scam.
Widow Duped by Fake Romance and Bitcoin Profits
According to AUSTRAC, Australia’s financial intelligence agency, the widow believed she was in a relationship with a Belgian man she met on a dating app. Over two years, he convinced her to invest in Bitcoin (BTC), showing fake earnings documents to gain her trust.
“It took me 40 years to earn my savings, and it took him 18 months to get them,” she said.
She described how the scammer walked her through converting cash to Bitcoin via crypto ATMs. In one instance, she carried AU$20,000 ($13,023) in cash and became “quite expert at using Bitcoin ATMs,” making transactions that sometimes took half a day.
Crypto ATM Activity Flags Larger Scam Network
The sting focused on top users of crypto ATMs, many of whom were found to be victims rather than perpetrators. Authorities reached out to 21 individuals, suspecting them of either being victims or engaged in illegal activities such as money laundering or acting as money mules.
- One individual was charged with property laundering.
- Four others received formal cautions.
- Some users knowingly transferred funds in desperate attempts to recover losses, while others were unaware they were assisting criminals.
“Disturbingly, most transactions referred to law enforcement involved victims, not criminals,” said AUSTRAC CEO Brendan Thomas.
Australia’s Crypto ATM Surge and Regulatory Response
Australia now has the third-largest number of crypto ATMs globally, with 1,871 machines nationwide. However, rising scam activity has prompted new regulatory measures.
- On June 3, 2025, AUSTRAC introduced new rules and transaction limits for crypto ATM operators.
- Cryptocurrency remains a top priority for regulation in 2025, with law enforcement agencies warning of increasing manipulation through fake love, job offers, and investment promises.
“If you’re being asked to send money urgently, especially through crypto, and you haven’t met the person — stop and report it immediately,” said AFP Commander Graeme Marshall.
Scams on the Rise: A National Concern
Between January 2024 and January 2025, ReportCyber, the country’s online fraud reporting system, received 150 scam reports linked to crypto ATMs, with losses exceeding AU$3.1 million (US$2 million).
As Australia strengthens efforts to protect vulnerable users, the public is urged to remain skeptical of high-pressure tactics and any requests to send funds via cryptocurrency—especially when made by strangers, businesses, or impersonated government agencies.
Key Message:
If you’re promised quick profits, face urgent deadlines, or are asked to use crypto ATMs, it could be a scam. Always verify and report suspicious requests before it’s too late.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.