Police have contacted more than 90 Australians — including scam victims and suspected offenders — in a sweeping nationwide operation targeting the criminal misuse of cryptocurrency ATMs, which are increasingly being exploited by scammers and organised crime syndicates.
Cryptocurrency ATMs, which allow users to convert cash into digital currencies, have grown from just 23 machines in 2019 to more than 1,800 across Australia. Authorities say this surge has made it easier for overseas criminals to receive illicit funds from scam victims, especially those targeted in romance and investment schemes.
The crackdown, led by the NSW Police Force and supported by AUSTRAC and the Australia-New Zealand Crypto Practitioners Working Group, focused on high-risk ATM users identified in every Australian state and territory except Victoria. The AFP’s Joint Policing Cybercrime Coordination Centre (JPC3) also coordinated a national awareness and prevention campaign.
NSW Police Cybercrime Squad Commander, Detective Superintendent Matthew Craft, stressed that people should never send money through crypto ATMs to strangers or people met online.
“In circumstances where a person you don’t know requests you transfer funds using a cryptocurrency ATM, you are likely being scammed.”
Several suspected scam victims had reportedly deposited hundreds of thousands of dollars via crypto ATMs after being manipulated by cybercriminals. In many cases, victims had already been blocked from transferring money via traditional banking systems but were redirected to crypto ATMs by fraudsters. Police say most victims were unaware they had been scammed until approached by officers.
Among those contacted were 21 individuals in Tasmania, the ACT and NSW, some believed to be unknowingly acting as “money mules” or helping transfer criminal proceeds. One person in Western Australia has been charged with property laundering, and four others across the country received formal cautions for suspected drug-related crypto use or money laundering.
Authorities estimate that $275 million is moved through Australian crypto ATMs annually, with intelligence suggesting a significant portion is tied to scams. In the 12 months prior to January 2025, over 150 crypto ATM-related scams were reported to ReportCyber, resulting in more than $3 million in losses.
Phase two of the operation is now underway, with venues hosting crypto ATMs being urged to educate users and display materials warning of scam tactics. AUSTRAC and JPC3 have distributed leaflets outlining the warning signs of fraud and instructions on how to seek help.
Worryingly, AUSTRAC data shows more than 70 per cent of crypto ATM transaction value comes from users aged over 50 — a demographic particularly vulnerable to romance and investment scams.
AFP Commander Graeme Marshall warned that scammers are exploiting the anonymity of crypto ATMs. “They’ve quickly become tools to conceal the transfer of money,” he said.
“Victims are being manipulated through fake promises of love, jobs or investments. If you’re guaranteed quick profits or pressured to act fast — stop and report it.”
AUSTRAC’s Law Enforcement National Coordinator Markus Erikson said new regulations, including a $5,000 transaction cap, have been introduced to combat misuse. “These machines allow fast, anonymous transactions, making them ideal for scammers and criminals,” Erikson said.
“It’s heartbreaking to see people in their 60s and 70s losing their life savings.”
Queensland Police uncovered one case where a man used crypto ATMs to buy illicit drugs delivered via Australia Post. Following a police tip-off, the ATM provider blocked the user, and Australia Post was alerted to the misuse of its services.
Victoria Police echoed the need for public vigilance. “If something seems too good to be true, it almost always is,” said Crime Command’s Detective Superintendent Tim McKinney.
“Once your money is gone, it’s gone forever.”
Authorities are urging Australians to stay informed, talk to vulnerable loved ones, and report suspicious activity to ReportCyber.
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