Bitcoin ATM Scams EXPOSED!

Summary

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Earn Your Leisure Podcast

Episode: Bitcoin ATM Scams EXPOSED!

Hosts: Rashad Bilal, Troy Millings
Release Date: October 21, 2025
Network: iHeartPodcasts

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Episode Overview

In this episode, Rashad and Troy delve into the rising wave of Bitcoin ATM scams that have hit American consumers—particularly the elderly—resulting in millions lost and raising tough questions about the accountability of crypto ATM operators. The discussion uses a dramatic real-life case to highlight how scammers prey on vulnerabilities, exploiting new fintech while existing legal and institutional protections lag behind. The hosts break down what listeners need to know to protect themselves in the rapidly evolving landscape of cryptocurrency.

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Key Discussion Points & Insights

1. Rise of Bitcoin ATM Scams ("Scams as a Bull Run Signal")

• Intro to the Recent Scam Wave [01:57-04:40]:

  • Rashad introduces a CNN clip showing a real-life bitcoin ATM scam targeting a victim, Gus Cason, who was manipulated into depositing cash into a bitcoin ATM by a scammer.
  • CNN details how scammers often impersonate authorities (e.g., banks, law enforcement) to trigger panic and urgency.
    • "A scammer told Gus that he would be arrested unless he withdrew $15,000 in cash and deposited it in that crypto ATM. It looks like a normal ATM, but a crypto ATM is different. Put in cash and it converts it into cryptocurrency in an instant." — CNN Reporter [03:14]
  • The scale of the issue: victims like Gus have collectively lost around $240 million so far this year—double from the previous year.

• Victim Perspective [02:46-04:40]:

  • Elderly and technologically less-savvy individuals are typically targeted.
  • For Gus Cason, his experience ended with police recovering the money, but the ATM provider, Bitcoin Depot, went to court to reclaim funds, emphasizing their fine-print warnings and disclaimers.
    • "Bitcoin had no business getting that money at all. I mean, really, when, especially when it's a scam, you think that's fair? Well, hell no." — Gus Cason [04:31-04:38]

2. Crypto ATM Companies’ Responsibility and Legal Response

• Profit and Protection [03:42-04:40]:
  • ATM operators charge 20-30% service fees, profiting even when funds are sent to scammers.
  • Lawsuits have been filed accusing providers of profiting from fraud and lacking adequate customer safeguards.
  • Companies respond with warnings but often fight refunds in court, as with Bitcoin Depot.
  • Policy note: most terms place responsibility on the consumer, not the provider.

3. Crypto Security and Irreversibility

• No Recourse Culture [10:06]:

  • Rashad emphasizes the irreversible nature of crypto transactions. Once money is sent, neither customer service nor chargebacks exist.
    • "Once you... I've sent crypto... I missed one letter. You can't—there's no customer service number. There is no recourse to get your money back." — Rashad Bilal [10:06]

• Bank Involvement Trend [10:31]:

  • Noting increased institutional involvement, Rashad references Citibank planning to offer custodial bitcoin services as a potential safeguard for mainstream investors.

4. Scams, AI, and the Bitcoin Market Cycle

• Scam Spike as Market Top Indicator [09:01-10:03]:
  • Rashad suggests that scam frequency tends to rise toward the end of bitcoin bull runs, reflecting market maturity and broader adoption, which attracts both legitimate and criminal actors.
    • "One of the signs of seeing the tail end is when you start to see scams pick up dramatically. And they said, like, this is the highest level of scams that we've seen in bitcoin ever." — Rashad Bilal [09:25]
  • Hosts discuss how AI tools have made scams more convincing and widespread.

5. Is Bitcoin Safe? Distinguishing the Tech from the Scams

• Clarification [10:03]:

  • Rashad is careful to distinguish Bitcoin itself from the scams:
    • "I'm not saying bitcoin is a scam. I'm saying that it can be used as a shield to facilitate a scam." — Rashad Bilal [10:06]

• Takeaway Message: Personal Responsibility [11:15-11:46]:

  • "Be careful of all scams going around the end of the bull run or start of the book." — Co-host [11:37]
  • Listeners are urged to independently verify requests for crypto transactions, especially unsolicited or urgent demands.

6. The Big Picture: Institutional Adoption & Market Timing

• Future Trends & Market Timing [11:46-12:39]:
  • Hosts debate where we are in the bitcoin cycle, tying the prevalence of scams to increased institutional entry and speculation about when the next major pullback will occur.
  • Predictions that the influx of banks and ETFs will "push it up a little bit further, a little bit longer," but a correction is likely on the horizon.

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Notable Quotes & Memorable Moments

• Rashad Bilal on responsibility:
  "A half truth is a whole lie." [06:20]
• Gus Cason on being scammed:
  "I should have known better. I should have known better. I was stupid enough, I fell for it." [03:37]
• On crypto irreversibility:
  "There is no recourse to get your money back." — Rashad Bilal [10:06]
• Warning for listeners:
  "Be careful of all scams going around the end of the bull run..." — Podcast Co-host [11:37]
• Bitcoin ATM companies’ legal response:
  "Bitcoin Depot, the company with the most crypto ATMs in the US, fought in court to get the $15,000 back and won." — CNN Reporter [04:22]

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Important Timestamps & Segments

• [01:57-04:40] — Playback and breakdown of the CNN bitcoin ATM scam exposé.
• [09:01-10:06] — Connection between scam prevalence and bitcoin bull run cycles.
• [10:06-11:15] — Discussion on crypto's irreversibility, bank custody trends.
• [11:46-12:39] — Predictions on future market moves and continued scam warnings.

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Final Takeaways

• The episode highlights the importance of skepticism and self-education in the age of crypto, especially as institutional adoption grows and scam tactics become more sophisticated.
• Listeners are strongly cautioned to:
  • Never send bitcoin or cash via ATM unless absolutely certain of the recipient.
  • Recognize that scam prevalence is a warning sign, not only of individual vulnerability but also of larger market conditions.
  • Remain vigilant, verify the legitimacy of urgent financial requests, and expect further mainstreaming of crypto custody through banks in the near future.

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Earn Your Leisure continues to provide practical, down-to-earth breakdowns of financial news and cultural trends, urging listeners not only to pursue opportunities but to protect themselves against emerging risks.

Transcript

[iHeartRadio Announcer]

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[Maggie Freeling]

The murder of an 18 year old girl in Graves County, Kentucky went unsolved for years until a local housewife, a journalist, and a handful of girls killed came forward with a story.

[Podcast Host Rashad]

America, y' all better wake the hell up. Bad things happens to good people and small towns.

[Maggie Freeling]

Listen to Graves county on the iHeartRadio app, Apple Podcasts or wherever you get your podcasts. And to binge the entire season ad free. Subscribe to Lava for Good plus on Apple Podcasts.

[Hot Agent of Chaos Narrator]

Did it occur to you that he charmed you in any way?

[Podcast Host Rashad]

Yes, it did. But he was a charming man. It looks like the ingredients of a really grand spy story. Because this ties together the cold war with the new one. I often ask myself now, did I know the true Jan at all?

[Hot Agent of Chaos Narrator]

Listen to Hot agent of chaos on the iHeartRadio app, Apple Podcasts, or wherever you get your podcasts.

[True Crime Podcast Narrator]

Short on time, but big on true crime. On a recent episode of the podcast Hunting for Answers, I highlighted the story of 19 year old Lachey Dungey. But she never knocked on that door. She never made it inside. And that text message would be the last time anyone would ever hear from her. Listen to Hunting for Answers from the Black Effect podcast Network on the iHeartRadio app, Apple Podcasts, or wherever you get your podcasts.

[Podcast Host Rashad]

Yeah, for sure. 100%. Let's do this. Let's talk about some financial topics before we get into spicier topics. So I want to show this clip about bitcoin fraud that's been happening with ATM machines. Can we show this clip, please? No, no, no, no, no, no.

[CNN Reporter]

You are watching a victim get scammed.

[Gus Cason]

How much money have you already sent to them?

[iHeartRadio Announcer]

10,700.

[CNN Reporter]

Jesus Christ. One of thousands of Americans caught in a grow spree that's no secret to.

[Podcast Host Rashad]

Police what they tell you to do.

[CNN Reporter]

Take $35,000 and then put it into Bitcoin.

[Podcast Host Rashad]

Please, I have to bank on the phone.

[Gus Cason]

I'm in danger, okay?

[Evan Ratliff]

No, you're not, ma'.

[CNN Reporter]

Am. In all of these cases, these machines called crypto ATM become the getaway car for the scammers who prey on victims like Gus Cason.

[Gus Cason]

That's where I stuffed in $100 bills. It would prompt you for everything Come up and I had him on the phone too.

[CNN Reporter]

Had you ever seen this before?

[Gus Cason]

Never been here before.

[CNN Reporter]

Never been here after this happened. As he was recovering from a stroke.

[Gus Cason]

I got a phone call. Well, he told me he was president of the bank. I said, now you tell me. I want you to swear that you're not a scam. I swear I'm not a scam. And all that. He convinced me he was good. He was good.

[CNN Reporter]

A scammer told Gus that he would be arrested unless he withdrew $15,000 in cash and deposited it in that crypto atm. It looks like a normal atm, but a crypto atm is different. Put in cash and it converts it into cryptocurrency in an instant. The FBI says victims like Gus have lost about $240 million so far this year, double the pace of last year.

[Gus Cason]

I should have known better. I should have known better. I was stupid enough, I fell for it.

[CNN Reporter]

The scammer took off with Gus's cash in the form of cryptocurrency. But the crypto ATM company also made money from the transaction in the form of fees and markups, often at 20 to 30% that they charge on transactions. Scam or legit lawsuits from attorneys general accused the top three crypto ATM firms of profiting from scams and not protecting customers. When police have seized the scam cash out of ATMs, the crypto ATM companies hit back hard in court to get that cash back, which is what happened to Gus.

[Gus Cason]

Cops went and got it that night. They took the. They went under the machine and took out $15,000. They held onto it.

[CNN Reporter]

Bitcoin Depot, the company with the most crypto ATMs in the US fought in court to get the $15,000 back and won.

[Gus Cason]

Bitcoin had no business getting that money at all. I mean, really, when, especially when it's.

[CNN Reporter]

A scam, you think that's fair?

[Gus Cason]

Well, hell no.

[CNN Reporter]

The company points out its machines, like many crypto ATMs have multiple on screen warnings, alerts of scams and requires that customers agree that they're only sending money to their own accounts. Bitcoin Depot also told CNN we do not profit from scams and the vast majority of our customers use our kiosk for lawful purposes. The company adds if it can't stop the transaction, it reviews every potential scam case individually for possible fee relief or. Or refunds. Can recruitment be beautiful? At lhh, we believe it can when it's rooted in purpose, not just process. We don't just match resumes to roles we uncover once in a lifetime talent. We understand the skills you need so we can connect you with people who align with your vision and can deliver lasting impact. Discover a more human approach to hiring. Visit LHH.com beautiful recruitment, development, career transition, a beautiful working world.

[iHeartRadio Announcer]

Run a business and not thinking about podcasting? Think again. More Americans listen to podcasts than ad supported streaming music from Spotify and Pandora. And as the number one podcaster, iHeart's twice as large as the next two combined. So whatever your customers listen to, they'll Hear your message. Plus, only iHeart can extend your message to audiences across broadcast radio. Think podcasting can help your business? Think iHeart streaming radio and podcasting. Call 844-844-IHeart to get started. That's 844-844, iHeart.

[Gus Cason]

All I know is what I've been.

[Podcast Host Rashad]

Told and that's a half truth is a whole lie.

[Maggie Freeling]

For almost a decade, the murder of an 18 year old girl from a small town in Graves County, Kentucky went unsolved until a local homemaker, a journalist and full of girls, came forward with a story.

[Gus Cason]

I'm telling you, we know Quincy killed her.

[Maggie Freeling]

We know a story that law enforcement used to convict six people and that got the citizen investigator on national tv.

[Gus Cason]

Through sheer persistence and nerve, this Kentucky.

[CNN Reporter]

Housewife helped give justice to Jessica Curran.

[Maggie Freeling]

My name is Maggie Freeling. I'm a Pulitzer Prize winning journalist producer and I wouldn't be here if the truth were that easy to find.

[Podcast Host Rashad]

I did not know her and I did not kill her or rape or.

[True Crime Podcast Narrator]

Burn or any of that other stuff.

[Hot Agent of Chaos Narrator]

That y' all said.

[True Crime Podcast Narrator]

They literally made me say that I took a match and struck and threw it on her.

[CNN Reporter]

They made me say that I poured.

[True Crime Podcast Narrator]

Gas on her.

[Maggie Freeling]

From Lava for good. This is Graves County, a show about just how far our legal system will go in order to find someone to blame.

[Podcast Host Rashad]

America, y' all better wake the hell up. Bad things happens to good people and small towns.

[Maggie Freeling]

Listen to Graves county in the Bone Valley feed on the iHeartRadio app, Apple Podcasts or wherever you get your podcasts and to binge the entire season ad free. Subscribe to Lava for Good plus on Apple Podcast.

[Hot Agent of Chaos Narrator]

Jan Marsalek was a model of German corporate success.

[Podcast Host Rashad]

It seemed so damn simple for him.

[Hot Agent of Chaos Narrator]

Also, it turned out a fraudster.

[Podcast Host Rashad]

Where does the money come from? That was something that I always was questioning myself.

[Hot Agent of Chaos Narrator]

But what if I told you that was the least interesting thing about him?

[Podcast Host Rashad]

His secret office was less than 500.

[Evan Ratliff]

Meters down the road.

[Podcast Host Rashad]

I often ask myself now Did I know the true Jan at all? Certain things in my life since then.

[Gus Cason]

Have gone terribly wrong.

[Podcast Host Rashad]

I don't know if they followed me to my home. It looks like the ingredients of a really grand spy story because this ties together the Cold War with the new one.

[Hot Agent of Chaos Narrator]

Listen to Hot Agent of chaos on the iHeartRadio app, Apple Podcasts, or wherever you get your podcasts.

[Podcast Host Rashad]

All right, so, you know, this is interesting. Bitcoin is interesting on a few different levels. If you follow the bitcoin bull bear cycle, we're at the tail end of this bull run. If history would repeat itself.

[Podcast Co-host]

Why do you say that, Rashad?

[Podcast Host Rashad]

Well, Chad, GBT says it. But if. If you. If you go by the amount of time that a bull run lasts for, this bull run will be over fourth quarter of this year or first quarter of next year. So we're at the tail end and you start to see. One of the signs of seeing the tail end is when you start to see scams pick up dramatically. And they said, like, this is the highest level of scams that we've seen in bitcoin ever. I think it's almost twice as what it was last year. But this is a cautionary tale for people just in general, as far as what artificial intelligence has done now is it's made it easier to scam people.

[Podcast Co-host]

And to be clear, you're not saying bitcoin is a scam, because I don't want them to clip that up and.

[Podcast Host Rashad]

No, no, I'm not saying bitcoin is a scam. I'm saying that it can be used as a shield to facilitate. To facilitate a scam. So these people, you know, a lot of elderly people, but it could happen to anybody. You know, they saying, okay, like, go to the ATM machine. Give the ATM machine the money. So if you see, I'm pretty sure you people, everybody has seen bitcoin ATM machines for sure. And that's the way to actually put physical cash into a. Into a machine, send bitcoin to somebody. But now the bitcoin ATM machine is like, no, we're not. It's your fault. Like, we're not going to give you the money back, like, just because you got scammed. Like, you know, like, we make you read everything on this, make sure you know who you're sending it to. And that's the thing about crypto. Once you happen to me before I've sent crypto, I missed one letter. You can't. There's no customer service number. There is no recourse to get your money back. Yeah, that's why Citibank, I think that they said that they're going to start holding bitcoin for people starting next year. And like we already have either we already have Bitcoin ETFs now the next thing is that banks are going to start to be custodians of people's bitcoin.

[Podcast Co-host]

It's a good way to prevent that crash from happening on your end because the book's not looking solid.

[Podcast Host Rashad]

Right.

[Podcast Co-host]

All of a sudden every, every bank on earth loves bitcoin, I bet. But sweetie have gotten paid in bitcoin or no.

[Podcast Host Rashad]

Maybe she did, I don't know. Salute. Salute.

[Podcast Co-host]

Be careful of all scams going around the end of the bull run or start of the book.

[Podcast Host Rashad]

Do you think this time is different? You think, you think you still got some more time?

[Podcast Co-host]

I think we have a little bit more time because the banks and financial institutions have vested interest for it to stay afloat a so that the mid tier banks don't get crushed. And I think with the onboarding of that asset class, it makes banks a I I think the institutional takeover of bitcoin or adoption of bitcoin, I think that they're going to push it up a little bit further, a little bit longer, maybe end of Q1, but I can definitely see a pullback. Not like the one we have from 60 to to 20, but I definitely can see a pullback and I think there would be a gold rush, no pun intended, from the rest of the banks into it.

[Maggie Freeling]

The murder of an 18 year old girl in Graves County, Kentucky went unsolved for years until a local housewife, a journalist and a handful of girls came forward with a story.

[Podcast Host Rashad]

America, y' all better wake the hell up. Bad things happens to good people in small towns.

[Maggie Freeling]

Listen to Graves county on the iHeartRadio app, Apple Podcasts or wherever you get your podcasts and to binge the entire season ad free. Subscribe to Lava for Good plus on Apple Podcasts.

[Hot Agent of Chaos Narrator]

Did it occur to you that he charmed you in any way?

[Podcast Host Rashad]

Yes, it did. But he was a charming man. It looks like the ingredients of a really grand spy story because this ties together the Cold War with the new one. I often ask myself now, did I know the true Jan at all?

[Hot Agent of Chaos Narrator]

Listen to Hot Agent of chaos on the iHeartRadio app, Apple Podcasts or wherever you get your podcasts.

[True Crime Podcast Narrator]

Short on time, but big on true crime. On a recent episode of the podcast Hunting for Answers, I highlighted the story of 19 year old Lachey Dungey but she never knocked on that door. She never made it inside. And that text message would be the last time anyone would ever hear from her. Listen to Hunting for Answers from the Black Effect Podcast Network on the iHeartRadio app, Apple Podcasts, or wherever you get your podcasts.

[Evan Ratliff]

When news broke earlier this year that baby kj, a newborn in Philadelphia, had successfully received the world's first personalized gene editing treatment, it represented a milestone for both researchers and patients. But there's a gripping tale of discovery behind this accomplishment and its creators. I'm Evan Ratliff, and together with biographer Walter Isaacson, we're delving into the story of Nobel Prize winner Jennifer Doudna, the woman who's helped change the trajectory of humanity. Listen to on crispr, the Story of Jennifer Doudna with Walter isaacson on the iHeartRadio app, Apple Podcasts or wherever you get your podcasts.