Tasmania has ramped up its efforts to combat cryptocurrency ATM scams after a report revealed that the top 15 users of such machines in the state suffered losses totaling AUD 2.5 million (approximately USD 1.6 million) due to fraud.
Key Highlights:
Tasmania intensifies its crackdown on crypto ATM scams following significant financial losses reported by users.
Scammers are increasingly pressuring victims to utilize crypto ATMs when their transactions are flagged as suspicious by banks.
With nearly 1,900 machines installed, Australia ranks as the third-largest country globally for crypto ATM networks.
A Tasmania Police Cyber Investigations report highlighted that nearly AUD 592,000 of the total losses were directly deposited into cryptocurrency ATMs.
This crackdown aligns with a national initiative spearheaded by the Australian Federal Police and the financial regulatory agency AUSTRAC, aimed at reducing the criminal exploitation of crypto ATMs across Australia.
Scammers Target Victims via Crypto ATMs in Tasmania
Detectives have noted a troubling trend, whereby scammers directly pressure victims into using crypto ATMs after their banks have raised concerns about certain transactions.
“Victims are being manipulated, intimidated, and coerced into investing in fraudulent schemes, including fake investment and romance scams,” stated Detective Sergeant Paul Turner.
He cautioned that many scams involve substantial financial losses and can lead to long-lasting repercussions for victims, including financial devastation and reliance on government assistance.
“If someone you have never met in person requests that you deposit cash into a cryptocurrency ATM, especially under pressure or with a tight deadline, it is likely a scam,” Turner advised.
In response to these challenges, AUSTRAC has recently implemented new regulations and transaction limits for crypto ATM operators, effective from June 3, as part of their broader strategy to combat scams. The agency continues to prioritize crypto-related issues as they approach 2025.
Tasmania’s crypto ATM network has expanded rapidly, increasing from just one machine in 2021 to over 20 currently, with data from Coin ATM Radar indicating there are 24 machines operating in the state.
Where in the world is #Bitcoin most accessible?
Here are the top countries with the most Bitcoin ATMs:
USA – 30,780
Canada – 3,062
Australia – 1,389
Spain – 276
Poland – 219
Slovenia – 80
#Crypto adoption is on the rise! pic.twitter.com/sleyKOqkc5
— Biconomy.com (@BiconomyCom) June 16, 2025
Australia holds the third position globally for the number of Bitcoin and crypto ATMs, second only to the United States and Canada, with nearly 1,900 machines, a stark increase from just 67 a year ago.
Significant operators in this sector include Localcoin, Coinflip, and Bitcoin Depot.
Global Actions Against Crypto ATM Misuse
Recently, New Zealand implemented a ban on crypto ATMs and limited international cash transfers in an effort to curb money laundering activities.
In Australia, AUSTRAC has determined to enforce stricter guidelines for crypto ATM operators, including reduced cash transaction limits and enhanced supervision of operations.
Last month, the regulator declined to renew the registration of a local crypto ATM operator, Harro’s Empires, enforcing operational restrictions and transaction limits upon them.
In the United States, Spokane, Washington, has instituted an outright ban on crypto ATMs, citing their association with scams that target vulnerable community members.
Senators at the national level are also striving to bolster legislation regarding crypto ATMs. Illinois Senator Dick Durbin has introduced the Crypto ATM Fraud Prevention Act, aimed at implementing protective measures for consumers while minimizing disruption for legitimate users.
Under this proposed act, new users would face restrictions that limit daily spending to $2,000, with a maximum allowance of $10,000 over any 14-day period.
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