Athena Bitcoin Crypto ATM Operator Accused of Fraud in the US
Date: 2025-09-10 Author: Oliver Abernathy Categories: BUSINESS
Athena Bitcoin, a cryptocurrency ATM company, is at the center of a scandal: Washington Attorney General Brian Schwalb accused it of profiting from fraudulent transactions. According to the lawsuit, in the first five months of crypto ATM operation in the US capital, 93% of all deposits were related to fraud. In 2023, Americans reported $189 million in losses to the FBI due to ATM fraud.
According to the complaint, the commission charged to Athena Bitcoin customers in Washington reached 26%, while this markup was not disclosed to users. In one case, the ATM exchange rate for Bitcoin was overvalued by 25.4%, selling the coin for $80,315 instead of the market price of $59,936. For a $10,000 transaction, the customer received only $7,463, while $2,537 remained with the company. Schwalb noted that the commission could increase proportionally to the amount of the transfer.
The lawsuit also points out that complex warnings and legal disclaimers in the ATM interface make it difficult for victims to understand the risks of fraud, creating additional psychological pressure. Taken together, this is considered unfair trading practices and exploitation of vulnerable groups, including the elderly.
A representative of Athena Bitcoin in a comment to Decrypt said that the company does not agree with the accusations and will defend its position in court. According to him, crypto ATMs are equipped with a variety of security features: warnings, transaction limits, and a multi-screen verification system to ensure that funds are transferred to the client's wallet and prevent forced transactions.
To date, there are 507 Athena Bitcoin crypto ATMs operating in Washington State, and 31,019 devices installed throughout the United States, according to Coin ATM Radar.
It should be noted that earlier, in July, New Zealand's Deputy Minister of Justice Nicole McKee announced her intention to completely ban crypto ATMs in the country as part of the fight against money laundering.
This lawsuit highlights the growing concerns of U.S. regulators about the security of cryptocurrency transactions and the protection of vulnerable categories of citizens.
