Cryptocurrency ATM Scams on the Rise in New Orleans
Scammers have found a new way to steal from unsuspecting victims in the New Orleans area: cryptocurrency ATMs. These machines, which have popped up everywhere in the city, allow users to purchase Bitcoin and other cryptocurrencies. However, they have also become a tool for fraudsters.
The scammers use various tactics to trick their victims, including fake jail release schemes and scare tactics about hacked bank accounts. In one case, a woman named Louise from Thibodaux was told by a scammer that the FBI wanted her to withdraw a large amount of money from her savings account. She eventually realized something was wrong, but not before she had been instructed to put money into a cryptocurrency ATM.
The Lafourche Parish Sheriff’s Office has launched a public awareness campaign to warn people about these scams. The campaign includes social media posts featuring parish leaders and even a meme of comedian Kevin Hart. “This is really just a new way of doing an old crime,” said Capt. Brennan Mathern of the sheriff’s office.
The problem is not limited to the elderly; victims as young as 20 have fallen prey to these scams. The Orleans Parish Sheriff’s Office is investigating cases where scammers have used false promises of getting people out of jail on ankle monitors to trick victims into putting money into cryptocurrency ATMs.
A local company that owns and operates about 200 crypto ATMs in the area has tried to implement safeguards to prevent these scams. However, clever con artists have found ways to circumvent these measures. “It’s non-reversible, you can’t charge it back, you can’t reverse it and it’s done in seconds,” said Will Hayne, CEO of Pelicoin. “So it’s the equivalent of convincing someone to go in their bank, withdraw cash and then go outside and give it to you.”
Law enforcement officials are urging people to be skeptical of any unsolicited call, text, or email that directs them to a cryptocurrency ATM. “If anyone directs you to a cryptocurrency ATM, stop in your tracks because it’s probably a scam,” said Capt. Mathern.
Thanks to the Lafourche public awareness campaign, the number of cryptocurrency scams has decreased significantly. In 2024, there were 160 reported cases, resulting in losses of $657,000. In 2025, that number has dropped to just two reported cases.
