North America’s largest crypto ATM operator cites regulatory pressures and rising costs as it seeks bankruptcy protection.
Bitcoin Depot, the largest Bitcoin ATM operator in North America, filed for Chapter 11 bankruptcy and ceased operations of its 9,000-machine network. The company attributed its collapse to stricter state regulations, transaction limits, and increased litigation costs, which rendered its business model unsustainable.
Before the shutdown, Bitcoin Depot operated over 9,000 ATMs across the U.S. and Canada. CEO Alex Holmes stated that regulatory crackdowns and compliance burdens materially impacted the company’s financial position, leaving bankruptcy as the only viable option.
The U.S. Bankruptcy Court for the Southern District of Texas will oversee the proceedings, which aim to facilitate an orderly wind-down and asset sale.