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Crypto ATM Scams are Costing Michiganders Millions

How AARP Michigan is helping communities take action against a fast‑growing scam

AARP

En español

Published February 18, 2026

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Cryptocurrency scams are constantly evolving. In Michigan, one of the fastest-growing threats involves cryptocurrency kiosks, often called crypto ATMs. These machines are becoming more common in everyday places like gas stations and convenience stores. Unfortunately, scammers are increasingly using them as a tool to steal large sums of money, especially from older adults.

The Scope of the Problem

According to the FBI, Michiganders lost more than $125 million to cryptocurrency‑related fraud in 2024 alone. As the number of cryptocurrency kiosks continues to grow rapidly, so do the opportunities for criminals to exploit them.

Older adults are disproportionately affected. Adults age 60 and older account for approximately 85% of reported cryptocurrency kiosk fraud losses, making this a serious threat to retirement security and financial independence.

These scams often result in devastating and irreversible losses. Once money is deposited into a cryptocurrency kiosk and transferred, it is typically impossible to recover. Beyond the harm to individual victims, these losses affect families, communities and local economies when retirement savings are wiped out and victims need additional support.

How Cryptocurrency Kiosk Scams Work

Scammers typically create a false sense of urgency. Victims may be told they owe back taxes, have a past‑due utility bill or face legal trouble unless they act immediately. In other cases, scammers pose as representatives from trusted companies or government agencies.

Victims are instructed to withdraw cash from their bank and deposit it into a cryptocurrency kiosk, often by scanning a QR code sent via text or email. Once the cash is converted into cryptocurrency, the victim receives a transaction code. When that code is shared with the scammer, the criminal can instantly transfer the funds elsewhere. In seconds, the money is gone.

What AARP Michigan Is Doing

Fighting fraud is a top priority for AARP, and AARP Michigan is actively working to protect Michiganders from cryptocurrency kiosk scams through education and advocacy.

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AARP Michigan has developed a model local ordinance designed to help communities prevent and reduce cryptocurrency kiosk fraud while focusing on consumer protection. These common‑sense safeguards include:

Clear, highly visible fraud warnings on kiosks that explain common scam tactics and tell consumers what to do if they suspect fraud.
Reasonable daily and 30‑day transaction limits to prevent catastrophic losses in a single incident.
Printed receipts with complete transaction details, which provide critical documentation for consumers and law enforcement.

Several Michigan communities, including Sterling Heights and Grosse Pointe Farms, have already taken action to protect residents by adopting local protections. AARP Michigan continues to encourage other communities to follow their lead.

In addition, AARP operates the AARP Fraud Watch Network, a free program open to people of all ages that provides tools, alerts and resources to help people spot, avoid and report scams.

How You Can Stay Informed and Get Involved

You don’t have to face this issue alone. There are several ways Michigan residents can help protect themselves and their communities:

Stay informed. Learn about emerging scams and warning signs through the AARP Fraud Watch Network and share that information with family and friends, especially older loved ones.
Talk to local leaders. Residents can contact their city council or township board to raise awareness about cryptocurrency kiosk fraud and encourage adoption of local safeguards.
Connect with AARP Michigan. AARP Michigan can provide information, talking points and support for individuals interested in advocacy efforts to protect their communities. Reach out to us at miaarp@aarp.org.

Cryptocurrency kiosk fraud is a growing threat, but education and smart policy can make a real difference. By working together, we can help protect Michigan residents, especially older adults, from losing their hard‑earned savings to scams.