New scam targets bitcoin ATM users, Winnipeg police say
Posters placed next to bitcoin machines claim ATMs are developing new software
Winnipeg bitcoin ATM users are being warned to take extra care after a scam was identified by police.
The financial crime unit has identified a recent scheme in the city involving automated teller machines for the cryptocurrency, police said in a news release Wednesday.
Posters located on or next to the machines claim the bitcoin ATMs are developing new software, police warned.
The posters advise users not to deposit bought bitcoins into their own digital wallets, but instead into a wallet identified through a QR code on the poster.
Users who follow the instructions on the poster will in fact buy bitcoins and give them to someone else — and they won't be able to get the money back.
Investigators say the posters weren't put up by the owners or operators of the machines.
Police urge users to only send bitcoin into their own wallet or the wallet of someone they know.
Users also should never pay outstanding bills by sending money through a bitcoin ATM, police said. Many payees don't accept bitcoin as payment, including the Canada Revenue Agency, Manitoba Hydro, the Winnipeg Police Service, banks and credit unions.
Const. Tammy Skrabek said no one has reported being scammed to Winnipeg police at this point.
The posters were found at two ATMs in Winnipeg.
The website Coin ATM Radar lists 20 bitcoin ATMs in Winnipeg.