Tasmania Crypto ATM Scams Cost AUD 2.5M, AUSTRAC Imposes ATM Limits
Crypto ATM scams in Tasmania have led the state’s top 15 users to lose a combined AUD 2.5 million. Scammers employed social engineering—fake romance or investment schemes—to pressure victims into depositing cash at crypto ATMs, converting it into Bitcoin (BTC) and Ethereum (ETH), then transferring funds to illicit wallets. Since 2021, Tasmania’s network of crypto ATMs grew from one to 24 machines, while Australia now hosts nearly 1,890 ATMs, increasing exposure to crypto ATM scams. After banks flagged suspicious transfers, scammers directed over AUD 592,000 into these machines. Detective Sergeant Paul Turner warns that urgent, high-pressure requests to use crypto ATMs are almost always scams. On June 25, the Australian Federal Police and AUSTRAC launched a national operation targeting ATM fraud. In June 2025, AUSTRAC imposed a AUD 5,000 per-deposit limit and stricter compliance requirements for operators. Similar measures include New Zealand’s ban on crypto ATMs and Spokane’s removal order. Crypto traders should monitor evolving regulations and ATM usage trends to manage risk.
Neutral
While the scams highlight vulnerabilities in crypto ATM usage, they primarily affect fraud prevention and regulatory measures rather than direct market demand for cryptocurrencies like BTC or ETH. In the short term, traders may avoid ATM purchases and exercise greater caution, slightly dampening localized volumes. In the long run, clearer regulations and compliance requirements could bolster institutional trust and stability, balancing any initial negative sentiment. Overall, the news is unlikely to cause significant price swings, making its impact neutral.