Senators Demand Fraud Protections for Bitcoin ATMs After Rising Scam Reports
CryptoNewsTerminal Staff15 Sep, 2024
Senators Demand Fraud Protections for Bitcoin ATMs After Rising Scam Reports
Seven U.S. senators have written to 10 bitcoin ATM operators, urging them to "take proactive steps to stop fraudsters from targeting older Americans."
The senators, led by Dick Durbin (D-Ill.), cited a report that there were over $65 million in reported fraud losses related to bitcoin ATMs in the first half of this year alone. They also noted that criminals are specifically targeting older Americans, who are more likely to fall victim to scams involving bitcoin ATMs.
"We are deeply concerned about the rising number of fraud cases involving bitcoin ATMs," the senators wrote. "These scams often target older Americans, who may be less familiar with the risks associated with cryptocurrency. We urge you to take immediate steps to implement fraud prevention programs and protect your customers from these criminals."
The senators' letter comes as Congress considers a bill that would require bitcoin ATM operators to create and implement fraud prevention programs. The bill, which is sponsored by Durbin and Sen. Elizabeth Warren (D-Mass.), would also require bitcoin ATM operators to register with the Financial Crimes Enforcement Network (FinCEN).
