- Wood County Sheriff’s Office in Wisconsin calls for state regulation of Cryptocurrency ATMs after a rise in scam cases.
- Officials report frequent incidents where large sums are lost, complicating cash retrieval and evidence procedures.
- Suggestions include daily deposit limits and transaction holds to protect potential scam victims.
The Wood County Sheriff’s Office in Wisconsin Rapids has urged state officials to introduce regulations on Cryptocurrency ATMs after numerous scam complaints connected to these machines in public areas, according to a report by the Sheriff’s Office.
Lieutenant Scott Goldberg from the department stated that cases involving these ATMs have surged over the past two years. He explained that each investigation typically begins with a warrant to seize the cash within the machine, after which the courts take over. Goldberg noted, “If somebody put $20,000 in that machine and we obtain it through a seizure, that money could sit in evidence for several months or longer while [the case] is being litigated in court.”
Goldberg highlighted challenges faced when crypto companies attempt to reclaim seized funds, stating, “They’re trying to push back on us, but we want to make it very clear that we are going to continue to do these investigations. We are not going to be bullied or pushed around by a company just because they have a lot of money.” The sheriff’s office is interested in working with these companies to develop a long-term solution and ensure local or statewide residents are not victimized.
To limit fraud, Goldberg suggested instituting daily deposit caps and a hold process for large transactions, similar to banking procedures for large checks. He said this could provide a window of time to halt transactions when victims realize they have been scammed.
Cryptocurrency ATMs, commonly found in convenience stores and grocery outlets, allow users to exchange cash for digital assets stored in crypto wallets. These wallets and their contents become vulnerable if stolen, making them frequent targets for scam operations.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- New US Attorney Appointed as SafeMoon CEO Karony Faces Trial
- JP Morgan, MIT Propose Standards for Interoperable Bank Tokens
- Bitcoin Devs Clash Over Secret OP_RETURN Limit Change, “War” Erupts
- Solana Quietly Patches Bug Allowing Unlimited Token Minting
- Mastering Solana Volume Bots: A Step-by-Step Guide for Web3 Projects