Key Takeaways
- Texas sheriff recovered $25,000 from a Bitcoin ATM after a local family was scammed.
- The action prompted online debate over law enforcement damaging third-party property.
- Bitcoin ATM scams have increased, with $246 million in losses reported in 2024 by the FBI.
A family in Jasper County, Texas, lost $25,000 after being tricked by a scammer impersonating a government employee, instructing them to deposit funds at a local Bitcoin ATM.
Acting on the case, Sheriff Chuck Havard obtained a search warrant and used a power tool to cut open the Bitcoin Depot-branded ATM, recovering approximately $32,000, including the family’s loss.
Users raise property concerns
The sheriff’s actions have ignited debate online. One Reddit user commented:
“Sounds like maybe government employees destroyed an innocent third party’s property and stole his money.”
Another user questioned the logic, comparing it to seizing all funds from a retail register after a scam purchase.
Sheriff Havard defended the approach, stating:
“When thieves, low-lifes and scammers attempt to take advantage of the citizens of Jasper County, we will work swiftly and utilize every resource at our disposal to protect our citizens and their property at all costs.”
Crypto atm scams on the rise
Havard noted that cases involving bitcoin scams can be complex and difficult to solve, and the department has yet to locate the scammer.
The incident comes amid increased scrutiny of bitcoin ATMs in the U.S. and abroad.
In 2024, the FBI reported nearly 11,000 complaints and over $246 million in losses related to bitcoin ATM scams, up 31% from 2023.
Recently, Spokane, Washington, banned bitcoin ATMs in response to rising scam cases, and Australia imposed new limits on ATM cash transactions.
