FTC warns the public of new cryptocurrency ATM scam

The Federal Trade Commission (FTC) has warned of a new scam involving cryptocurrencies. There are three main types of scams: fraudsters, QR codes, and ATMs where the victim is tricked into sending money.

According to the FTC, scammers are often employed by government officials, police, or employees of local utility companies. Scammers also use chat apps to pretend they're popular or to call victims to let them know they've won.

No matter how you start out, you always end up with scammers asking for money. If the user is scammed, the scammer will ask them to withdraw the money and then go to the crypto ATM. You will then be asked to purchase cryptocurrency through this ATM. This is how QR numbers work. Show the QR code of your wallet address to the victim. So when the victim scans the QR code, the crypto device will be sent to the fraudulent account.

Cristina Miranda from the FTC Consumer and Business Education department explains:

“The most important thing to know is that we do not allow government, police, public use, or the payment plan to pay in cryptocurrency. If anyone does, it is fraud and there are no exceptions. "

Meanwhile, the Cryptocurrency Crime Report shows that $ 7.7 billion worth of cryptocurrencies will be stolen from around the world by 2021. Compared to 2020, that figure is up 81%.