Crypto scams rise in Texas, what you can do to protect yourself

EL PASO, Texas (KVIA)-- According to a report from the FBI, people aged older than 60 years lost more than $4 billion from cryptocurrency scams. In Texas alone, Texans lost more than $1 billion.

ABC-7 spoke with special agent Jeffrey Reisinger from the FBI El Paso Cybercrime Squad. He said the most common type of cryptocurrency scam is "pig butchering."

"One of the scams that is out there that is commonly referred to as where is an investment type of scam. Where somebody befriends somebody on the internet, and tries to become ingratiated with them and then lets them know I have a chance to be able to give you an investment opportunity with cryptocurrency," said Reisinger.

District 8 City Rep. Chris Canales put an item on the Tuesday's El Paso City Council agenda targeting cryptocurrency ATMs. The item was postponed two weeks.

Canales wrote, "The rapid rise of cryptocurrency kiosks, otherwise known as crypto ATMs, has created a serious public safety issue. Because these machines transfer cash instantly and permanently, they have become the go-to tool for scammers. Criminals take advantage of the fact that once cash is fed into these machines, it is converted into digital currency and sent to untraceable offshore accounts. Unlike a credit card or standard bank transfer, there is no way to cancel the transaction or get the money back. Local police departments and the FBI report a massive spike in these scams, which primarily target senior citizens and vulnerable residents, often wiping out their entire life savings in a matter of hours. These scams work by using fear, panic, and speed."

Read the full FBI report below.