The Manitowoc Police Department is reminding residents to be careful of cryptocurrency scams.
Crime Prevention Sergeant Paul Krock explained to SeehaferNews.com that the department is still seeing people, specifically older individuals, losing money when they deposit it into Bitcoin ATMs, which are located around the city.
“Unfortunately, a lot of times these scams do involve quite a bit of money,” he explained. “Thousands of dollars at times. So, we definitely want to get the word out there. Warn citizens associated with these Bitcoin ATM machines.”
Krock says the department wants to deter people from putting any of their money into one of the machines.
These scammers are coercing people to put money into the machines,” he noted. “And once that money’s put in there, it’s essentially gone.”
Scammers often target older adults because they may not understand technology and are more likely to be at home.
Krock says scammers can be convincing because they claim to be from a federal government agency, such as the IRS or law enforcement.
“They can tell the victim that they have unpaid taxes, unpaid fines, maybe even a warrant out for there arrest,” he stated. “And that’s how (scammers) get this sense of urgency and secrecy in order to get these people to deposit that money into the machine.”
They will also threaten a victim, saying they will be arrested or could face fines if they don’t pay up.
Local law enforcement reminds residents that agencies like the IRS would not ask for money through cryptocurrency if you were behind on payment.
The City of Manitowoc approved an ordinance in April of this year, requiring signs on Bitcoin ATMs to warn people about potential scams.
Sgt. Krock says police believe they are helping.
“The number of these Bitcoin ATM scams that have been reported to us has decreased since the signs were put up,” he described. “We do like to think that they are helping to get those people an extra visual, an extra warning from the Manitowoc Police Department. Kind of advising them of the dangers of putting money into these Bitcoin ATM machines.”
Manitowoc Police always advise people not to give money to someone they do not know, especially if they are asking for it in a way that can’t be tracked, such as cryptocurrency or gift cards.
For more information on Bitcoin scams, visit the Wisconsin DATCP website at datcp.wi.gov.
