Las Vegas-based digital asset infrastructure firm Bitcoin Bancorp has won a bankruptcy auction to acquire 2,547 crypto ATMs from the failed operator Bitcoin Depot for just $620,750, according to court records cited on September 10, 2026.
The sale was completed through Bitcoin Depot's Chapter 11 bankruptcy proceedings. As recently as Q4 2025, Bitcoin Depot had valued its property and equipment at more than $26 million, making the final price a steep discount. Bitcoin Bancorp also paid an additional $110,500 for floorspace agreements, intellectual property, trademarks, patents and the BitcoinDepot.com domain name.
Bitcoin Depot, once the largest crypto ATM operator in the United States, filed for Chapter 11 bankruptcy in May after revenue fell 49% in the first quarter. The company swung from a profit of $12.2 million to a loss of $9.5 million year over year. CEO Alex Holmes said tighter regulation, stricter compliance rules, transaction limits and some outright bans made its business model 'unsustainable'. At its peak, the Nasdaq-listed company had a market capitalization of about $400 million and operated roughly 9,700 ATMs across 48 U.S. states, 10 Canadian provinces and six Australian states.
Bitcoin Bancorp trades on OTC Markets at about $0.04 per share with a market cap near $18.5 million. The company said the purchased physical network could accelerate expansion without building infrastructure from scratch. Some transactions have already closed, with the remainder expected to close in the coming quarter.
The deal highlights ongoing regulatory pressure on crypto ATMs. Fraud linked to crypto ATMs reached $389 million in 2025, up 58% year over year. The U.K. has banned crypto ATMs, while Australia and Canada have tightened rules. Still, nearly 39,000 crypto ATMs operated worldwide as of March, with about 78% in the U.S. and the ten largest operators controlling roughly 78% of all locations.
