Crypto ATM Scams Spread Inside US Convenience Stores

Just inside the entrance of a Circle K convenience store in Niceville, Florida, a district manager stared angrily at a crypto ATM after yet another elderly customer had lost thousands of dollars to a scam. Police body-camera footage from September captured the manager saying he wanted the machines removed from stores.

Elderly Americans Lose Hundreds of Millions

Across the United States, thousands of people — many of them retirees on fixed incomes — have lost more than a quarter of a billion dollars this year after scammers tricked them into feeding cash into crypto ATMs, which convert money into nearly impossible-to-recover cryptocurrency.

Circle K Emerges as a Major Host for Scam Sites

A joint investigation by CNN and the International Consortium of Investigative Journalists found that a significant number of victims were scammed inside Circle K stores. The chain is one of the crypto ATM industry’s largest corporate partners and earns millions of dollars by renting space to ATM operators.

Employees Witness Scams Repeatedly

Reporters reviewed more than 150 documented crypto ATM scam cases at Circle K locations and spoke with 17 employees who said they witnessed fraud firsthand. Some said they tried to stop scams in progress, while others described extreme incidents, including a man attacking a machine with a sledgehammer in an attempt to recover stolen money.

Store Workers Say Management Response Is Limited

Several employees said they raised concerns with management but saw little action taken. One assistant manager in Florida publicly criticized company policy, saying Circle K treats crypto ATMs as a third-party problem despite frequent incidents affecting customers.

Even Employees Fall Victim to Crypto ATM Scams

Police reports show that Circle K staff members themselves have been deceived, with some persuaded to remove cash from store safes and deposit it into crypto ATMs. At one Indiana location, management posted a warning sign behind the counter urging employees not to place money into Bitcoin machines.

Circle K Defends Its Role

The company said it regularly trains employees to recognize scams but emphasized that the machines are owned and operated by third parties. A spokesperson stated that Circle K staff do not manage or oversee customer transactions at crypto ATMs.

Profits Continue Despite Ongoing Concerns

Despite repeated warnings and internal alerts, Circle K renewed its partnership with crypto ATM operator Bitcoin Depot this year. The arrangement generates rental income that can reach thousands of dollars per store annually.

Law Enforcement Blames Corporate Hosts

Police officers investigating crypto scams say large retail chains are a major obstacle to prevention. According to investigators, the widespread availability of crypto ATMs inside familiar businesses makes scams easier to execute and harder to stop.

Crypto ATM Industry Faces Growing Scrutiny

Previous investigations have shown crypto ATM companies often profit from scams by marking up cryptocurrency prices by 20% to 30% or more. State attorneys general and other regulators have alleged that a large share of transactions at major operators are tied to fraud.

Bitcoin Depot Rejects Allegations

Bitcoin Depot disputes claims that it enables scams, saying it uses fraud warnings, ID requirements, live customer support, and cooperation with law enforcement. The company maintains that it has safeguards in place to protect users.

Circle K Hosts Hundreds of Crypto ATMs Nationwide

More than 30,000 crypto ATMs operate across the US, many inside gas stations and convenience stores. Circle K alone hosts machines at more than 750 locations, making it the largest corporate partner of Bitcoin Depot.

Victims Say Trust in Familiar Brands Was Key

Scam victims often say being directed to a well-known retailer lowered their suspicion. One Indiana retiree said he felt reassured when scammers sent him to a Circle K, only realizing the fraud after losing $7,000.

Critics Call for Machines to Be Removed

Some Circle K employees and law enforcement officials argue that keeping crypto ATMs in stores harms customers. They say removing the machines would significantly reduce scam success and protect vulnerable people from financial devastation.