New York Moves to Stop Crypto Kiosk Scams
Albany, NY – At a press conference today, AARP New York announced support for S.9891 (Sanders) / A.10899 (Vanel), legislation that would strengthen safeguards around cryptocurrency kiosks: machines that resemble bank ATMs and are used by criminals to get money from unsuspecting victims.
Criminals, including international organized crime rings, target older individuals and direct them to use crypto kiosks for payments. According to FTC data, people aged 60 and over are more than three times as likely as younger adults to report losses using crypto kiosks, and older adults account for more than two-thirds of all reported dollars lost to this type of fraud.
According to a 2024 FBI IC3 report they received 10,956+ complaints involving crypto kiosks, with approximately $246.7 million in losses nationwide. The FTC also found, based on consumer reports, that kiosk related fraud losses have skyrocketed. In New York, the FBI reported 437 complaints in 2024, totaling $4.8 million in losses, with an average loss of $10,937.
“Cryptocurrency kiosks may look like familiar ATMs, but for some New Yorkers they’ve become a fast track to financial loss. Scammers are weaponizing these machines to steal life savings in a matter of minutes,” said Beth Finkel, State Director of AARP New York. “This legislation is a critical step toward preventing fraud, increasing accountability, and protecting older New Yorkers and all consumers from financial exploitation.”
AARP New York supports this legislation as a response to a rapidly growing fraud trend in which criminals use fear and urgency to coerce individuals into making irreversible transactions.
Cryptocurrency kiosks have quickly spread to everyday locations like supermarkets, convenience stores, gas stations, and pharmacies. Criminals, often posing as government officials or businesses, convince individuals that an urgent financial issue requires action. They are directed to withdraw large sums of cash from their bank and deposit it into a crypto kiosk. The money is then transferred to a digital wallet controlled by the criminal and the money is gone.
These measures aim to curb misuse, enhance transparency, and prevent criminals from exploiting these machines to steal from New Yorkers, especially vulnerable older adults.
