SPOKANE, Wash. — The Spokane City Council is set to vote on a resolution that seeks to enhance protections for consumers from cryptocurrency-related fraud.
The resolution, which will be considered at an upcoming council meeting, calls for state law amendments to better safeguard individuals using virtual currency kiosks.
Cryptocurrency, a form of digital currency stored in online wallets, is often used through mobile phones, computers, or cryptocurrency ATMs. Transactions made through cryptocurrency are typically irreversible, and, unlike traditional financial accounts, they are not insured by the U.S. government, leaving consumers with few options if they are defrauded.
The council said that the resolution aims to highlight growing concerns about the use of cryptocurrency in scams, particularly targeting vulnerable individuals, including the elderly. Criminals often exploit platforms such as social media and dating apps to build trust with victims, convincing them to send funds to unknown recipients. These scams, often disguised as fake investment opportunities or fraudulent personal relationships, can be difficult to trace and nearly impossible to recover once the money is transferred.
The resolution also notes that Washington state has experienced the highest rate of imposter scams per capita in the country in 2023, according to the Federal Trade Commission. Spokane city leaders are advocating for stronger consumer protection measures at the state level to address these rising concerns.
If approved, the resolution would show the city’s support for legislative efforts to amend state laws to better protect consumers from these types of scams involving virtual currency.
The Spokane City Council is set to vote on Monday’s meeting.
