New York Ranks Second Safest in America as Crypto Scams Soar
Eleven billion dollars. That's how much Americans lost to cryptocurrency fraud in 2025, according to the FBI’s Internet Crime Report.
That number is so large that it can feel distant, but the victims are not. They are our neighbors, coworkers, parents, grandparents and friends. Scammers are reaching people everywhere, including here in Upstate New York.
However, a new study offers some encouraging news. New York has been named the second safest state in the country for cryptocurrency scams.
New York Ranks Second Safest for Cryptocurrency Scams
The study from DuelBits examined cryptocurrency safety in all 50 states. Researchers considered cybercrime rates, cryptocurrency ownership, Google searches related to scams, state regulations, and the number of cryptocurrency ATMs per resident.
New York received a safety score of 76.51 out of 100, placing it second in the country behind Louisiana.
That does not mean New Yorkers are immune to cryptocurrency fraud. It does suggest that the state’s strict regulations and relatively limited number of crypto ATMs may make it more difficult for some scammers to operate.
Bitcoin ATMs Are Becoming More Common Across America
Bitcoin ATMs are much more common now, but I still remember the first time I saw one. It was several years ago inside a retirement community in Florida, and it completely caught me off guard.
At the time, cryptocurrency still felt like something discussed mostly by investors and people who understood technology much better than I did. I remember looking at that machine and wondering how the residents of a retirement community seemed to know more about Bitcoin than I did.
Now, when I see a Bitcoin ATM, I think about it differently. The machines may offer a convenient way to purchase cryptocurrency, but scammers also use them to pressure victims into depositing cash before they have time to question what is happening.
New York BitLicense Laws Offer Strong Crypto Protections
One of New York’s biggest protections is its BitLicense requirement. Businesses that conduct certain virtual currency activities in the state must obtain a license and follow New York’s regulatory standards.
The study gave New York a perfect score of 100 for the strictness of its cryptocurrency laws, the highest score in the country.
Those rules can make it more difficult for cryptocurrency companies to operate in New York, but they also provide consumers with protections that are not available everywhere.
New York Has One of the Lowest Rates of Crypto ATMs
New York has approximately 1.94 cryptocurrency ATMs for every 100,000 residents, according to the study. That is the third lowest rate in the country.
Researchers counted 385 machines across the state, which is a relatively small number considering New York’s population.
Crypto ATMs are not automatically dangerous, but scammers often use them because cryptocurrency payments can be difficult or impossible to reverse. A victim may be told to withdraw cash, visit a nearby machine, and send Bitcoin to a digital wallet controlled by the scammer.
Once the transaction is completed, the money may be gone for good.
Crypto Scam Searches Are Below Average in New York
New Yorkers made approximately 235.56 Google searches for cryptocurrency scam terms per 100,000 residents, according to the study. The national average was 346.39 searches per 100,000 people.
The lower search rate could mean New Yorkers are encountering fewer suspicious cryptocurrency situations. It could also mean some victims are not recognizing a scam or searching for help.
Search data alone cannot explain why the number is lower, but it was one factor in New York’s overall ranking.
New York Cybercrime Rates Remain Above the National Average
Cybercrime was the category that kept New York from claiming the top spot.
The state recorded 177 cybercrime victims per 100,000 residents, compared with the national average of 160.
That is an important reminder that strong laws cannot stop every scam. Criminals can contact potential victims by phone, email, text message and social media without ever setting foot in New York.
Cryptocurrency Ownership Continues to Grow in New York
Nearly 2 percent of New York residents own cryptocurrency, giving the state the ninth highest ownership rate in the country.
As cryptocurrency becomes more familiar, scammers have a larger group of potential victims. They may pretend to represent a bank, government agency, utility company, online retailer, or cryptocurrency investment platform.
Some also build romantic or personal relationships online before introducing a supposed investment opportunity.
Common Warning Signs of Bitcoin and Cryptocurrency Scams
The safest response is to slow everything down. Scammers create urgency because they do not want you to have time to think, call someone you trust, or verify their story.
Be suspicious if anyone:
- Demands payment through a Bitcoin or cryptocurrency ATM
- Promises guaranteed investment returns
- Pressures you to act immediately
- Sends instructions for depositing cash into a digital wallet
- Claims cryptocurrency is required to protect your bank account
- Tells you not to discuss the transaction with family or bank employees
No legitimate government agency or law enforcement department will demand that you pay a fine or protect your money by feeding cash into a Bitcoin ATM.
How Upstate New Yorkers Can Avoid Cryptocurrency Fraud
New Yorkers have some of the strongest cryptocurrency protections in the country, but second safest is not the same as completely safe.
If someone contacts you about a cryptocurrency investment, unexpected prize, unpaid bill, or supposed problem with your bank account, stop before sending anything. Call the organization directly using a trusted phone number and talk it through with someone you know.
New York’s regulations can provide an extra layer of protection. Recognizing the warning signs is what may keep your money from becoming part of next year’s multibillion dollar loss total.
LOOK: Here are 25 ways you could start saving money today
Gallery Credit: Bethany Adams
Struggling at the Checkout? These 10 Tips Could Save You Money at the Grocery Store
Gallery Credit: Troy Dunken