💥New Chapter 11 Bankruptcy Filing - Bitcoin Depot Inc.💥
Sus crypto "ATM" biz enters chapter 11 to close up shop
On May 17 and 18, 2026, ATL-based Bitcoin Depot Inc. ($BTM) and fifteen affiliates (collectively, the “debtors” and together with their non-debtor subsidiaries, the “company”)* filed chapter 11 liquidation cases in the Southern District of Texas (Judge Lopez), bringing the ‘26 crypto body count up to four (noteworthy) filings (after NFN8, Archblock, and BlockFills).
Somebody snag a cookie for King & Spalding LLP’s Michael Handler. He called it in December:
“I think we could see a new crypto-driven insolvency waive in ‘26.”
Anyway. The company, which traces its origins to ‘16, has the largest network of Bitcoin ATMs (“BTMs”)** in North America …
Which, why is that a business? Johnny buys, sells, trades, and does other crypto nonsense from his phone. Without paying a massive 15% markup.
Well, in case you missed the ticker at the ⬆️, the company is of course another sh*tco deSPAC. In August ‘22, the deal went public. Per Reuters:
“Fintech Bitcoin Depot plans to list in the United States by merging with blank check company GSR II Meteora Acquisition Corp in a deal valued at $885 million, the companies said on Thursday.
The transaction will raise up to $321 million of cash held in GSRM’s trust account and will be used to support Bitcoin Depot’s working capital, complete acquisitions and scale its platform and suite of products.
Assuming no redemptions, the combined company will be valued at $755 million, including debt, with an equity value of $885 million and up to $170 million in cash proceeds from the deal, according to a statement.”
Assuming no redemptions!!
Here’s a shot of GSR II Meteora Acquisition Corp.’s (“GSR II”) investors:
89% bailed, lol. Taking GSR II from a $316mm IPO down to a $35mm pot of cash.
Which begs the question: why did 11% of GSR II’s suckers even stick around? Turns out, there’s an easy answer. After languishing nearly a year, closing cash conditions were dropped, PIPE investors threw in more cash, and uh, GSR II bought off the 11% through agreements not to redeem. All in, the SPAC raised another $50mm and the deal finally closed in late June ‘23.
Was it worth it?
By July 7, 2023, the stock had dropped to $2.80/share for a total market cap of $167mm — ~19% of the OG deal value — and while there were telltale signs of the mid-‘25 of crypto rally along the way, that pricing is toast: