Attorney general office warns East Hampton seniors about cryptocurrency kiosk scams

Elizabeth McKinstry of the state attorney general's office warned East Hampton seniors that a growing wave of phone scams directs victims to convert cash into cryptocurrency at on‑site kiosks or "crypto ATMs." She said scammers will often stay on the phone, walk a victim through emptying bank accounts and drive them to convenience stores, grocery stores or gas stations where kiosks are installed.

"The moment that you deposit your cash into that machine, it is converted and it is offshore. There is nothing we can do for you at that point," McKinstry said, adding that an investigator in her office estimated "far less than 5%" of money is ever recovered in these cases. She cited more than "600" kiosks in Massachusetts and urged attendees not to comply with instructions to use them.

Why it matters: Converting cash to cryptocurrency at kiosks may permanently remove ordinary consumer protections and tracing ability; McKinstry said the immediacy of conversion and the international nature of transactions make recovery rare. Her office has pursued civil actions against kiosk owners in the past when deposits were overwhelmingly from scams.

McKinstry advised anyone who receives a demand for payment to hang up, call a trusted friend or family member and report the incident to local police so investigators can begin tracing websites and networks.

The Council on Aging staff also offered confidential follow-up: "you can come over totally privately and confidentially to the Council on Aging and Ashley or I will sit down with you," a staff member said, offering assistance for anyone unsure about a text or call they received.

Next steps: McKinstry urged attendees to treat requests to use a crypto kiosk as a red flag and to report successful or attempted scams to law enforcement and the attorney general's office so prosecutions and civil actions can proceed.