Bitcoin Depot reveals theft of $3.7 million worth of BTC in cybersecurity breach

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ATM operator Crypto Bitcoin Depot has revealed that it lost approximately 50.9 Bitcoins worth approximately $3.7 million after a hacker gained access to some of its internal systems.

The breach occurred on March 23 after an attacker took control of credentials linked to Bitcoin Depot’s corporate Bitcoin (BTC) wallets. According to until Monday’s filing with the U.S. Securities and Exchange Commission. The company said there was no impact to customer accounts, platforms and personal data.

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Bitcoin Depot added that the attack had no major impact on daily operations and said it had insurance that could cover some of the losses. “As the investigation into the incident is ongoing, the full scope, nature and impact of the incident are not yet fully known,” the filing said.

Bitcoin Depot shares surged on Wednesday, closing at $2.74, up $0.37, or 15.61%, on the day, with additional gains in pre-market trading pushing the price to $2.90, a further gain of 5.84%, according to data from Yahoo! Finances.

Related: Bitcoin Depot enters Hong Kong as part of expansion in Asia

Bitcoin warehouse under pressure

Bitcoin Depot is facing increasing legal and regulatory pressure in several US states. The company’s money transfer license in Connecticut was recently suspended along with a short-lived cease-and-desist order, with regulators citing violations such as high fees and failure to fully refund fraud victims.

The company too he faced Massachusetts lawsuit for overcharging and facilitating fraud, and Paid Parking $1.9 million in Maine to compensate affected users.

There are over 30,000 Bitcoin ATMs in the US. Source: CoinATMRadar

In June 2024, Bitcoin Depot also suffered a data breach that exposed the personal information of 26,732 customers. The breach was linked to a third-party system, and authorities only allowed the company to issue notices after the investigation was completed in June 2025.

Related: Australia’s financial regulator may gain powers to ban cryptocurrency ATMs

US cities ban cryptocurrency ATMs

U.S. cities are increasing pressure on cryptocurrency ATMs as fraud concerns grow. Stillwater, Minnesota, banned cryptocurrency ATMs after residents lost vast sums to scams, while Spokane, Washington, implemented a citywide ban in June, calling kiosks “the preferred tool for fraudsters” after a spike in fraud cases.

Haverhill, Massachusetts, is also considering a ban on cryptocurrency ATMs, proposing an ordinance citing fraud and money laundering risks that would require all machines to be removed within 60 days if approved.

Warehouse: Bitcoin Could Take 7 Years to Upgrade to a Post-Quantum Version – BIP-360 Contributor

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