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July 29, 2020


When Not to Use a Bitcoin ATM?

Cryptocurrencies have taken off in a big way, and 2020 is a remarkable year for innovations in Bitcoin-friendly developments. Even though Bitcoin ATMs have made the use and exchange of the currency immensely easy and accessible, there is a great need to exercise caution.

In this article, we will walk you through some of the common scenarios where you should not use a Bitcoin ATM.

Here, take a look and be warned:

Fake IRS Calls

IRS scams are extremely common, and now they have penetrated the Bitcoin realm, urging people to use a Bitcoin ATM to wire funds. So, what happens is, con men and scammers paint an elaborate picture to convince people that they have missed certain taxation people and can be charged with a crime for owing a sizable debt to the government.
Here’s the catch: the scammers typically ask you to wire them money using a Bitcoin ATM to escape being arrested or charged with a crime. These scammers can paint a very believable picture, but the fact that the government does not officially accept Bitcoin or cryptocurrency payment should be enough to warn you.

Social Security “Penalties”

Here’s another extremely common scan involving the government: scammers impersonate officials from the social security administration to obtain your personal identity and financial details. They try to sell a convincing story about certain charges against you and ask you wire funds using a Bitcoin ATM to avoid penalties.

Impersonating Utility Providers

Scammers can also impersonate personnel from one of your utility service providers. They usually require prompt payments by claiming arrears and often threaten to disband your electricity or internet bill.
People who are gullible and do not want to undergo the hassle of reinstating their utility services even end up transferring funds to these scammers through Bitcoin ATMs. Before you make the transfer, just call up your utility service provider on the given number, and verify the details.

Exclusive Deals & Memberships

Now, this scam can be quite challenging to escape because scammers try to sell you exclusive deals on high-end products, which can often be hard to resist. They can offer you ridiculously cheap bargains on luxury vacations, high-end clubs, cars, luxury handbags or even tickets to an event.
The scammer will encourage you to send a pre-payment through a Bitcoin ATM to reveal your desired product in the mail.

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