The District of Columbia’s Attorney General is taking legal action against Athena Bitcoin, alleging the crypto ATM operator facilitated fraud and profited from undisclosed fees tied to scam-related 0 Takeaways: DC Attorney General sues Athena Bitcoin for enabling scams and hiding fees as high as 26%. 93% of Athena’s DC ATM deposits were linked to fraud, targeting mostly elderly 1 firm is accused of deceptive practices and failing to prevent exploitation through its crypto 2 a lawsuit filed Monday , DC Attorney General Brian Schwalb claimed that 93% of Athena’s deposits during its first five months of operation in DC were the direct result of 3 Bitcoin Charged Fees of Up to 26% The company allegedly charged victims undisclosed fees of up to 26% per transaction, while failing to implement proper safeguards against fraud.
“Athena knows that its machines are being used primarily by scammers yet chooses to look the other way so that it can continue to pocket sizable hidden transaction fees,” Schwalb said in a 4 lawsuit comes amid a growing national crackdown on crypto ATM 5 FBI logged nearly 11,000 complaints in 2024, amounting to over $246 million in 6 states, including Arizona, Colorado, and Michigan, have enacted transaction caps in an attempt to curb abuse. Schwalb’s filing alleges Athena misled customers by referring to a “Transaction Service Margin” in its Terms of Service, without clearly disclosing it was a 7 firm is being charged with deceptive and unfair trade practices, and violating laws designed to protect elderly and vulnerable adults from financial 8 May and September 2024, Athena allegedly collected hundreds of thousands of dollars in hidden fees from scam victims in DC.
NEW: We are suing Athena — a Bitcoin ATM 9 seniors are being scammed out of life-changing amounts of 10 is facilitating the scams, charging massive hidden fees, and refusing refunds. We're fighting to get victims their money back and hold Athena accountable. — AG Brian Schwalb (@DCAttorneyGen) September 8, 2025 The median victim age was 71, and the average loss per transaction was $8,000. One elderly resident reportedly lost $98,000 through a single scam conducted via an Athena 11 attorney general’s office described Athena’s compliance measures as “ineffective,” accusing the firm of enabling an “unchecked pipeline for illicit international fraud transactions.” Schwalb urged the public to avoid sending funds via crypto ATMs to people they haven’t met, particularly those reached through unsolicited 12 often pose as tech support, investment advisors, or bank representatives to pressure victims into transferring 13 currently operates 13% of crypto ATMs in the U.
S., making it one of the industry’s largest players, behind Bitcoin Depot and CoinFlip, according to 14 Countries Clamp Down on Crypto ATMs In Australia, AUSTRAC recently introduced stricter rules for crypto ATM operators, including tighter cash limits and 15 regulator refused to renew the registration of a local crypto ATM operator , Harro’s 16 agency placed operating conditions, including transaction limits, on 17 the US, Spokane, Washington, has banned crypto ATMs entirely , citing their use in scams targeting vulnerable 18 in the US Senate are also attempting to tighten laws on a state and local level, with one attempt led by Illinois Senator Dick 19 has introduced the Crypto ATM Fraud Prevention Act, which would bring in legislative measures designed to protect the public — while attempting to limit inconvenience for law-abiding 20 users would be prevented from spending more than $2,000 a day at one of these machines, rising to $10,000 in a 14-day 21 would also need to have a detailed conversation whenever a new user is trying to complete a transaction with a value of over $500.
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