A popular blockchain sleuth, Zachary Wolk, alias ZachXBT, has cautioned cryptocurrency users not to trust Bitcoin Depot, one of the largest Bitcoin Automated Teller Machine(ATM) operators in the United States, on April 22.
As Bitcoin Depot urged crypto users to tap into its over 9,000 ATMs for Bitcoin (BTC) adoption, ZachXBT revealed otherwise. He stated that Bitcoin Depot could cost its users a fortune, since it has helped scammers rip off elderly victims in the recent past.
“I strongly advise no one to ever give Bitcoin Depot ATMs their business. Why was an elderly fraud victim recently allowed to convert $25,000 to BTC via a Bitcoin Depot ATM in the U.S.? Why was the victim quoted at $108,000 per BTC when the market price is $75,000?” ZachXBT stated.
He argued that Bitcoin Depot engages in predatory pricing and has weak fraud controls. As such, the security lapses have enabled call scammers to target the elderly and vulnerable crypto users. Furthermore, the on-chain investigator revealed that the victim paid $25,000 for 0.232 BTC, which was actually worth only $17,500, to Indian call scammers.
Meanwhile, the on-chain investigator revealed that the Bitcoin Depot made misinformed claims through its recent filing with the United States Securities and Exchange Commission (SEC).
ZachXBT’s blockchain tracing found that suspicious outflows actually began on March 20, three days before the company’s reported date, thereby indicating a three-day delay in detecting the breach. The investigator also identified 54.45 BTC across 19 theft addresses, thus exceeding the disclosed 50.903 BTC.
A growing challenge for Bitcoin ATMs in the U.S.
The U.S. BTC ATM landscape has faced significant headwinds amid reported scams. According to the Federal Bureau of Investigation (FBI) Internet Crime Complaint Center (IC3) 2024 Annual Report, scammers stole $246.7 million through crypto ATMs in 2024.
This figure surged to more than $333 million in 2025, per official FBI data, showing an increasing nationwide threat from loosely regulated crypto ATMs.
Against this backdrop, adoption trends have also weakened. The number of Bitcoin ATMs in the United States declined by nearly 2% in the first quarter of 2026, falling to approximately 30,229 units, as previously reported by Finbold.
A similar pattern is emerging in Europe. According to MarketSleek’s analysis, the number of crypto ATMs in the region edged down from 1,754 in January to 1,747 by the end of Q1 2026.
The data shows a mid-quarter dip followed by a partial recovery, but overall reflects softer momentum, reinforcing the broader global slowdown in crypto ATM expansion.
