Crypto Bull Run Fails to Revive Bitcoin ATM Business

Bitcoin Depot Navigates Challenges as ATM Revenue Declines Despite $3B in Transactions

Despite Bitcoin (BTC) soaring past $100,000 last year, not all crypto-related businesses have seen gains.

Bitcoin Depot (BTM), a major player in the Bitcoin ATM market, reported a decline in revenue from $150 million in Q4 2022 to $137 million in Q4 2024. The company cited regulatory changes in California as a key factor in the downturn.

“Our business has never been directly tied to Bitcoin’s price movements,” said Brandon Mintz, CEO of Bitcoin Depot. “Even in the 2022 bear market, transaction volumes remained strong.”

Since going public via a SPAC merger in 2023, Bitcoin Depot’s stock has dropped approximately 85%, with its market cap now at $82 million.

The company refuted claims that the rise of spot Bitcoin ETFs, launched in early 2024, had diverted business away from Bitcoin ATMs. “Our data does not suggest ETFs have impacted our transactions,” a spokesperson clarified.

Bitcoin Depot primarily serves unbanked individuals, cash-based users, and those who prefer an alternative to traditional banking. “We cater to a unique customer base that values accessibility and ease of use,” Mintz noted.

The firm purchases ATMs from third-party manufacturers but integrates its proprietary Bitcoin software. Each machine costs between $5,000 and $7,000, and the company typically recoups the investment within a year.

Initially offering multiple cryptocurrencies, Bitcoin Depot transitioned to Bitcoin-only to avoid regulatory uncertainty. “With the SEC cracking down on tokens it considers securities, we opted for a Bitcoin-exclusive approach to minimize risk,” Mintz explained.

Since its launch in 2016, Bitcoin Depot has processed nearly $3 billion in transactions. While its core operations are in North America, the company is exploring potential international expansion.

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