Bitcoin Depot Inc. (NASDAQ: BTM) filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Southern District of Texas to wind down operations and sell its assets. The company shut down its entire network of Bitcoin ATMs.

CEO Alex Holmes cited regulatory pressures as the primary factor behind the decision. States have imposed stricter compliance requirements, including new transaction limits, and some jurisdictions have restricted or banned Bitcoin ATM operations entirely. The company also faced increased litigation and regulatory enforcement actions.

"The regulatory environment for BTM operators has shifted significantly," Holmes stated in the announcement. "Under these circumstances, the Company's current business model is unsustainable."

Bitcoin Depot operated over 9,000 kiosk locations globally as of August 2025, according to the company. The Atlanta-based firm provided services in 47 states through its ATM network and offered cash-to-bitcoin conversion at retail locations in 31 states through its BDCheckout product.

The company filed customary "first day" motions with the bankruptcy court. Bitcoin Depot's Canadian entities are included in the U.S. court-supervised process, with Canadian restructuring proceedings expected to commence separately. Other international entities will wind down under applicable foreign laws.

Vinson & Elkins LLP serves as legal advisor, with Portage Point Partners as restructuring advisor and Joele Frank, Wilkinson Brimmer Katcher handling strategic communications.

The company was founded in 2016 and went public on the Nasdaq exchange. Holmes thanked customers, suppliers, business partners and employees in the announcement.