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Arkansas Consumers Urged to File Claims After Bitcoin Depot Files Chapter 11 Bankruptcy
Bitcoin Depot Operating LLC, the company that ran the largest network of bitcoin ATMs in North America, filed for Chapter 11 bankruptcy protection on May 18 2026 and has since shut down its nationwide kiosk system. The Arkansas Securities Department (ASD) has issued a consumer alert to residents who used the company’s kiosks in the state, informing them that they may be eligible for refunds or compensation.
Bitcoin Depot operated more than 9,000 kiosks across 33 U.S. states before its collapse. The kiosks allowed users to purchase bitcoin and other cryptocurrencies with cash or debit cards, transferring the purchased coins directly to a digital wallet. The company’s bankruptcy filing was made in the U.S. Bankruptcy Court for the Southern District of Texas.
In Arkansas, the ASD reports that Bitcoin Depot managed 92 kiosks and processed at least 2,341 individual transactions during the past year. The state’s money‑transmitter license, which the company held under Arkansas law, covered the operation of these kiosks. According to the ASD, 19 Arkansas consumers are currently owed a total of $33,312 in refunds. Individual amounts range from $382 to $7,500. The department will contact those consumers directly but has issued a statewide notice to ensure that any other customers with outstanding claims are aware of the bankruptcy proceedings.
The ASD notes that cryptocurrency kiosks have become a target for scammers who persuade victims to deposit money into accounts that cannot be recovered. The department cites the Arkansas General Assembly’s Act 557 of 2025, which imposes restrictions on kiosk operators and strengthens consumer protections. Commissioner Susannah T. Marshall said the legislation has helped protect Arkansans from “bad actors attempting to use this product to scam Arkansans.” The ASD encourages residents to review the agency’s website for information on fraud indicators.
Consumers who believe they have a claim may file a claim through the bankruptcy proceedings. The ASD provides several contact options: a restructuring hotline (844‑339‑4117 for U.S. and Canada, 332‑232‑7827 for international callers), an email address (BitcoinDepotInfo@ra.kroll.com), and direct contact with the department via email (ASDInfo@arkansas.gov), phone (501‑324‑9260), or toll‑free number (800‑981‑4426). The department urges anyone who suspects they were the victim of a kiosk scam to report the incident promptly.
Bitcoin Depot’s bankruptcy reflects broader challenges facing the crypto‑ATM industry. Industry analysts have noted that the model of high‑fee, cash‑based transactions has attracted regulatory scrutiny and fraud risks. The company’s shutdown follows a period of increased enforcement activity, including investigations into kiosk operators and the rise in reported crypto‑ATM scams nationwide.
As the bankruptcy case proceeds, the ASD will monitor the distribution of any available funds to affected consumers. The department has not yet announced a schedule for refunds, and it remains unclear how the bankruptcy court will prioritize claims. Consumers are advised to file their claims as soon as possible and to keep documentation of their transactions.
In summary, Bitcoin Depot’s Chapter 11 filing has halted its operations nationwide, leaving Arkansas residents who used the company’s kiosks with potential refund claims. The ASD’s alert and the available claim‑filing channels provide a pathway for affected consumers to seek compensation. The outcome of the bankruptcy proceedings will determine whether the owed amounts are fully or partially recovered, and the case may influence future regulatory approaches to cryptocurrency kiosks in Arkansas and beyond.
Bitcoin Depot operated more than 9,000 kiosks across 33 U.S. states before its collapse. The kiosks allowed users to purchase bitcoin and other cryptocurrencies with cash or debit cards, transferring the purchased coins directly to a digital wallet. The company’s bankruptcy filing was made in the U.S. Bankruptcy Court for the Southern District of Texas.
In Arkansas, the ASD reports that Bitcoin Depot managed 92 kiosks and processed at least 2,341 individual transactions during the past year. The state’s money‑transmitter license, which the company held under Arkansas law, covered the operation of these kiosks. According to the ASD, 19 Arkansas consumers are currently owed a total of $33,312 in refunds. Individual amounts range from $382 to $7,500. The department will contact those consumers directly but has issued a statewide notice to ensure that any other customers with outstanding claims are aware of the bankruptcy proceedings.
The ASD notes that cryptocurrency kiosks have become a target for scammers who persuade victims to deposit money into accounts that cannot be recovered. The department cites the Arkansas General Assembly’s Act 557 of 2025, which imposes restrictions on kiosk operators and strengthens consumer protections. Commissioner Susannah T. Marshall said the legislation has helped protect Arkansans from “bad actors attempting to use this product to scam Arkansans.” The ASD encourages residents to review the agency’s website for information on fraud indicators.
Consumers who believe they have a claim may file a claim through the bankruptcy proceedings. The ASD provides several contact options: a restructuring hotline (844‑339‑4117 for U.S. and Canada, 332‑232‑7827 for international callers), an email address (BitcoinDepotInfo@ra.kroll.com), and direct contact with the department via email (ASDInfo@arkansas.gov), phone (501‑324‑9260), or toll‑free number (800‑981‑4426). The department urges anyone who suspects they were the victim of a kiosk scam to report the incident promptly.
Bitcoin Depot’s bankruptcy reflects broader challenges facing the crypto‑ATM industry. Industry analysts have noted that the model of high‑fee, cash‑based transactions has attracted regulatory scrutiny and fraud risks. The company’s shutdown follows a period of increased enforcement activity, including investigations into kiosk operators and the rise in reported crypto‑ATM scams nationwide.
As the bankruptcy case proceeds, the ASD will monitor the distribution of any available funds to affected consumers. The department has not yet announced a schedule for refunds, and it remains unclear how the bankruptcy court will prioritize claims. Consumers are advised to file their claims as soon as possible and to keep documentation of their transactions.
In summary, Bitcoin Depot’s Chapter 11 filing has halted its operations nationwide, leaving Arkansas residents who used the company’s kiosks with potential refund claims. The ASD’s alert and the available claim‑filing channels provide a pathway for affected consumers to seek compensation. The outcome of the bankruptcy proceedings will determine whether the owed amounts are fully or partially recovered, and the case may influence future regulatory approaches to cryptocurrency kiosks in Arkansas and beyond.
