Bitcoin Depot Inc., the Atlanta-based operator of roughly 9,700 Bitcoin ATMs that until recently traded on Nasdaq as BTM, filed for chapter 11 protection on May 18, 2026 in the Southern District of Texas and is now running a court-approved section 363 sale process in parallel with a liquidating plan. The filing followed a 49.2% decline in Q1 2026 revenue after the implementation of mandatory know-your-customer controls, which compressed the cash-conversion economics underlying the kiosk business. The Debtors entered bankruptcy with approximately $15.6 million of funded debt, anchored by a $13.34 million first-lien term loan administered by Silverview Credit Partners LP and maturing in December 2027, with the balance in equipment-finance obligations to VFS LLC and NFS Leasing, Inc. Disclosure Statement and PlanDkt. 304.
The restructuring has advanced along a dual track. Bidding procedures approved in early June set a bid deadline of June 22, 2026, an auction on June 23, and a sale hearing on July 2, with the Term Loan Secured Parties, NFS, and VFS designated as qualified bidders entitled to credit-bid under section 363(k) subject to lien and priority challenges Bidding Procedures OrderDkt. 189. In parallel, on June 18 the Debtors filed a combined Disclosure Statement and Chapter 11 Plan of Liquidation that would channel remaining assets and causes of action into a Liquidation Trust, with general unsecured creditors receiving trust interests and equity holders receiving no distribution Disclosure Statement and PlanDkt. 304. The plan establishes an Investigation Subcommittee, led by independent member Ivona Smith, to evaluate claims against insiders and third parties.
Procedural scaffolding now supports both tracks. The Debtors seek a combined disclosure statement and plan hearing on July 30, 2026, with voting and objections due July 23 Combined Hearing MotionDkt. 305, and have proposed a general claims bar date of July 16, a governmental bar date of November 23, and an administrative bar date of July 29 Bar Date MotionDkt. 306. A cash-collateral hearing is scheduled for June 24, with CRO Thomas Studebaker of Portage Point (Triple P TRS, LLC) serving as the Debtors' designated witness Witness and Exhibit ListDkt. 309.
The estate also faces a contested regulatory front. The Commonwealth of Massachusetts has moved to confirm that its prepetition consumer-protection enforcement action—alleging that more than 80% of high-value Massachusetts kiosk transactions were tied to scams and that the Debtors' pricing spreads exceeded their own internal caps—is exempt from the automatic stay under the section 362(b)(4) police-power exception, while disclaiming any present intent to enforce a money judgment Massachusetts Police-Power MotionDkt. 303. Separately, the Debtors continue to contract their footprint, most recently issuing a ninth omnibus notice rejecting 12 Profit Share Agreements with Legacy Vending Fund entities Ninth Omnibus Rejection NoticeDkt. 307.
