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What are Bitcoin ATMs and How to avoid Scams – 2022

Bitcoin ATMs are machines that allow you to buy bitcoin with cash. They are similar to a regular ATM but they allow you to buy and sell bitcoin. There are a few different types of ATMs that exist. Some are physical machines that can be found in the lobby of certain stores or businesses, such as Waves Coffee Shop in Portland, Oregon. These machines allow you to both buy and sell bitcoin. Alternatively, some ATMs are online and require your phone number to use them. These machines do not require physical access but you will need to download an app on your phone in order for it to work with the machine.

What are Bitcoin ATMs, and How do They Function?

How to Use a Bitcoin ATM

Bitcoin ATMs have been around for a while now and have been growing in popularity. There are many reasons for this, like the convenience of not having to go through an exchange or having to wait for your bank transfer to clear. Bitcoin ATMs also provide a sense of security because they require no personal information from the user, other than their cash deposit amount.

You can use Bitcoin ATMs by following these steps:

  1. Find the nearest Bitcoin ATM using CoinATMRadar
  2. Choose the amount you want to purchase
  3. Insert your cash into the machine and scan your wallet QR code with your phone or show it on your computer screen
  4. The machine will then dispense bitcoins as well as a printed paper receipt with QR code on it

What are Bitcoin ATM fees?

Bitcoin ATMs charge a fee of around 15%, which may vary between ATMs. Be sure to read the instructions and fees on the ATM before using it.

How to check if the Bitcoin ATM is legit?

Make sure that the ATM has a sticker with its name on it. Then check the machine for any damages or tampering. The last thing you want is to get scammed by someone who tampered with it and put a skimmer on top of it.

What Kind of Scams Use Crypto ATMs?

Crypto ATMs are a relatively new phenomenon, and they are now being used in scams. These scams typically involve the scammer getting the victim to withdraw cash from the ATM and then stealing it.

The most common type of scam using crypto ATMs is where the scammer stands next to or near the victim as they use an ATM, and then steals their cash after they have withdrawn it. This can be done by grabbing their wallet or even just distracting them while they are withdrawing money.

Where to report Crypto ATMs Scams?

Reporting cryptocurrency scams to the authorities is not easy. We need to know which agency to contact and what information is required.

In the US, you should report the scam to the Federal Trade Commission by filing a complaint on their website or calling 1-877-FTC-HELP. You can also file a complaint with your local police department or state attorney general’s office.

In Canada, you can report scams to the Canadian Anti-Fraud Centre by calling 1-888-495-8501 or submitting an online form at https://www.antifraudcentre.ca/report_a_fraud/index_eng.html

If you are in Europe, then you should report frauds and scams to your national law enforcement agency – e.g., Action Fraud in the UK, Europol in The Netherlands, etc

Conclusion and Wrap

Scammers are out there and looking for ways to get you. You need to be very careful while sending and receiving Crypto, and avoid any transaction you have not planned. Especially the one that occurs randomly and has a call-to-action theme behind them.

About the author

Archu

I am CBC, I am a Crypto expert and a part-time blogger. I usually write about how and where to buy crypto coins in legit ways.

Trade with Binance.US