Consumer alert issued for Bitcoin cryptocurrency ATMs

OHIO — The Ohio Department of Commerce Division of Financial Institutions issued a consumer alert on Monday for Ohioans who have used cryptocurrency ATM kiosks operated by Bitcoin Depot Inc. 

The alert follows Bitcoin filing for bankruptcy last month in the U.S. Bankruptcy Court for the Southern District of Texas. Since the filing, it has shut down its ATM network, meaning consumers may be eligible for outstanding funds.

Bitcoin previously operated in 33 states, including Ohio, holding money transmission license number OHMT 263 with the division.

A Bitcoin ATM is a physical kiosk allowing people to buy or sometimes sell cryptocurrency, usually using cash or a debit card, but unlike a traditional ATM, it does not connect to a bank account. Instead, it transfers cryptocurrency to a digital wallet or an address the user provides.

“In the past year, Bitcoin Depot processed 10,637 individual transactions in Ohio across at least 50 machines,” the division said in a news release. “Any Ohioan who believes they may have been impacted by a scam involving these machines is encouraged to file a claim.”

There are 32 consumers who are owed a total of $90,907 in refunds, ranging from $18 to $43,000. These individuals will be contacted directly, but the division is calling attention to the situation to ensure any other Ohioan who used the service is aware of the potential refund.

Those who believe they are owed money, or who have an outstanding claim with Bitcoin Depot, can file a claim through the bankruptcy case. They can also call the company’s restructuring hotline at 844-339-4117 (Toll-Free U.S./Canada) or +1-332-232-7827 (International), or email BitcoinDepotInfo@ra.kroll.com.

Before filing a claim, consumers are encouraged to gather all recepts, transaction records and supporting documents.

For additional information, contact the Division’s Office of Consumer Affairs via email at web.dfi@com.ohio.gov or call 614-728-8400.