Latest news with #BitcoinDepot
Yahoo
3 days ago
- Yahoo
Authorities saw open Bitcoin ATM to recover scammed money — almost $32,000 seized from machine
When you buy through links on our articles, Future and its syndication partners may earn a commission. The Sheriff in Jasper County, Texas, located a little over 100 miles northeast of Houston, used a circular saw to break into a Bitcoin ATM after determining it was used for fraud. According to a Facebook post from the Sheriff's office, a county constituent was defrauded of $25,000 on a crypto scam, which they deposited into the machine. After securing the necessary warrants, the investigators broke open the Bitcoin ATM and seized $31,900 found inside it. Many elderly Americans are being targeted by online scammers. Fraudsters primarily use cash gift cards to circumvent the protections many financial institutions have in place to prevent activities like these. However, the advent of crypto ATMs, like the Bitcoin Depot ATM used in this incident, has made it cheaper and easier for perpetrators to access their stolen funds. The decentralized and anonymized nature of cryptocurrency has made it more difficult for the authorities to trace these transactions, and its global availability means that cross-border transactions do not require identification. According to the FBI, elderly Americans lost $107 million in scams in 2024 through crypto ATMs. Unfortunately, Bitcoin Depot seems to be a victim of this scam. After all, it converts cash to Bitcoin and only acts as a money transmitter or money services business. It also claims to proactively employ robust compliance, AML, and KYC protocols. That means the company and its franchisee, if the affected machine is owned by one, are on the hook (at least for now) for the damaged ATM and the seized contents. Bitcoin Depot told Decrypt that it 'regularly collaborates with investigators to clarify when recovery may be possible' and 'such efforts typically involve the receiving wallet provider or exchange, not the kiosk itself.' They also said, 'We actively support and educate law enforcement agencies, particularly those less familiar with cryptocurrencies. Even though the authorities have already recovered the cash from the ATM, it doesn't mean the victim will get their money back. They must first go through legal means so that the authorities can issue an order to seize the stolen funds. From there, their only hope is that the attacker made a mistake and used an exchange that cooperates with the authorities. Nevertheless, it's not impossible—for example, the U.S. Department of Justice recovered $2.3 million in Bitcoin paid as ransom in the Colonial Pipeline attack. Still, it will be a harrowing journey for the victims to reclaim their money—if they're able to recover it at all. Follow Tom's Hardware on Google News to get our up-to-date news, analysis, and reviews in your feeds. Make sure to click the Follow button.
Yahoo
3 days ago
- Business
- Yahoo
Bitcoin firm says police shouldn't saw open Bitcoin ATMs to seize cash for scammed customers, will seek damages for destroyed machines — firm claims seizures are criminal and victimize the company
When you buy through links on our articles, Future and its syndication partners may earn a commission. Bitcoin Depot Chief Legal Officer, Chris Ryan, said that police departments using brute force to open Bitcoin ATMs and seize the cash inside is bordering on law enforcement overreach. Sawing them open might even be breaking banking and criminal laws, added Ryan. The executive told Decrypt that the money inside Bitcoin Depot ATMs rightfully belongs to the company, and that any damage to its machines will be held against the offending organization. 'You've got these rogue law enforcement officers thinking that they're doing the right things by these consumers,' Ryan said. 'What they're actually doing is creating another victim, which is us, with the damage of our property and seizing of our funds.' Just last week, the Jasper County Sheriff broke into a Bitcoin Depot ATM after one of its constituents reported getting scammed out of $25,000. Although the victim went through proper channels, and they were able to secure a search warrant, the money inside the ATM is legally no longer the property of the victim. Instead, the authorities should be going after the wallet address where the cryptocurrency was deposited. Because the Sheriff used a power tool to break open the ATM to get its contents, Bitcoin Depot said that its machine — which cost $14,000 each — was completely totaled. This is particularly unfortunate because the company said that it always cooperates with law enforcement and will open the machine for them when going through the proper channels. Requests like this happen up to 20 times a year, Ryan said to Decrypt, and that doesn't even include cases where the police just straight up break their machines open. As for the latter, the company would charge the jurisdiction for the damage — something many can't afford. Crypto ATMs are similar to regular deposit machines, wherein they accept cash and credit the same amount to your bank account. But instead of going into your account, it would instead go into your nominated wallet address. Depositors that use the machine are required to confirm that they're depositing the money into their own wallets, and it even warns users using third-party addresses that they might be getting scammed. So, if someone was scammed out of their cash with a regular deposit machine, the police would not break the ATM — instead, they would coordinate with the courts and the bank to freeze the account and potentially get the money back. This should be the same pathway that victims should take when scammed through crypto. Unfortunately, many people, including law enforcement and the courts themselves, do not understand how crypto works. Because of that, we get incidents like these where police forcibly open crypto ATMs, causing damage to a third party's property. While Bitcoin Depot and other similar operations are legitimate, they're often used by scammers because of how fast and easy it is for them to get the stolen funds. Even though you can easily track crypto transactions due to the public nature of the ledger, getting them back is often difficult because of anonymity. Moreover, if the scammer does not use an exchange that works with the authorities, it's difficult, often nearly impossible, to get the money back. Because of these attributes, scammers are increasingly switching from gift cards to Bitcoin ATMs. Follow Tom's Hardware on Google News to get our up-to-date news, analysis, and reviews in your feeds. Make sure to click the Follow button. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Arabian Post
25-06-2025
- Arabian Post
Sheriff Breaches Bitcoin ATM to Reclaim $25K From Scam
Jasper County authorities in Texas executed a search warrant to physically open a Bitcoin ATM on June 16, retrieving approximately $32,000 in cash—$25,000 of which a local family had deposited after falling prey to a scammer posing as a government official. Sheriff Chuck Havard authorised the operation after tracing funds to an ATM operated by Bitcoin Depot. Law enforcement agents secured the warrant following a police report that fraudulent calls threatened the family with fines unless they paid via the kiosk. Deputies pulled cash from the machine using a power‑cutting tool, recovering a surplus in addition to the family's deposit. The sheriff defended his actions: 'When thieves, low‑lifes and scammers attempt to take advantage of the citizens of Jasper County, we will work swiftly and utilise every resource at our disposal to protect our citizens and their property at all costs'. He also warned that cryptocurrency‑based fraud cases are notoriously complex and that the perpetrator remains unidentified. ADVERTISEMENT The incident has sparked debate across digital‑currency communities. Some critics argue that damaging ATM infrastructure and seizing funds from an operator may undermine property rights, asserting that the ATM itself—provided by a third party—was collateral damage in the scam. One Redditor remarked: 'Sounds like maybe government employees destroyed an innocent third party's property and stole his money.' This episode highlights a concerning rise in crypto‑ATM scams. The FBI logged nearly 11,000 complaints totaling over $246 million in losses tied to such ATMs in 2024—a 31 percent increase from the previous year—with many victims aged over 60. Citing the surge in fraud, Spokane, Washington, enacted a ban on crypto‑ATMs on June 18, and Australia imposed tighter transaction caps earlier this month. Bitcoin Depot, the ATM's operator, confirmed it works closely with law‑enforcement agencies under AML and KYC protocols, but typically does not supervise cash retrieval directly from kiosks. The nature of cryptocurrency—its decentralisation and pseudonymity—adds obstacles to tracking illicit transfers and returning funds to victims. Although the seized amount exceeds the family's loss, victims must navigate legal processes to claim reimbursement, and success often depends on tracing crypto to identifiable exchanges. Past efforts, such as the U.S. Department of Justice recovering $2.3 million from the Colonial Pipeline ransomware attack, show that fund recovery is complex and rare. Industry observers say the operation may set a legal precedent for law enforcement intervention in crypto‑ATM fraud. However, critics caution against the public destruction of third‑party property without clear evidence of complicity, warning it could erode trust in digital‑currency infrastructure. Amid growing consumer vulnerabilities, experts call for enhanced public education, robust regulation, and strengthened compliance from ATM operators. Proposed measures include mandatory transaction limits, stricter licensing, real‑time fraud monitoring, and clearer cooperation channels with enforcement agencies. Federal and state authorities are also considering new legislation targeting crypto‑ATM fraud. The Crypto ATM Fraud Prevention Act, if passed, would require improved operator oversight and clearer protocols for law‑enforcement response. Meanwhile, states like North Dakota and Nebraska have already introduced licensing and transaction‑cap laws. As this case advances, Jasper County officials and Bitcoin Depot are expected to coordinate further to identify the scammer and determine rightful ownership of the recovered assets. The outcome of this operation may shape future legal and regulatory standards governing crypto‑ATM responses to fraud.
Business Insider
21-06-2025
- Business
- Business Insider
Bitcoin Depot files $100M mixed securities shelf
17:00 EDT Bitcoin Depot (BTM) files $100M mixed securities shelf Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Yahoo
15-06-2025
- Business
- Yahoo
Bitcoin Depot Inc.'s (NASDAQ:BTM) most bullish insider, CEO Brandon Mintz must be pleased with the recent 33% gain
Bitcoin Depot's significant insider ownership suggests inherent interests in company's expansion Brandon Mintz owns 65% of the company Institutions own 14% of Bitcoin Depot AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. To get a sense of who is truly in control of Bitcoin Depot Inc. (NASDAQ:BTM), it is important to understand the ownership structure of the business. We can see that individual insiders own the lion's share in the company with 70% ownership. In other words, the group stands to gain the most (or lose the most) from their investment into the company. As a result, insiders scored the highest last week as the company hit US$397m market cap following a 33% gain in the stock. Let's take a closer look to see what the different types of shareholders can tell us about Bitcoin Depot. See our latest analysis for Bitcoin Depot Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices. As you can see, institutional investors have a fair amount of stake in Bitcoin Depot. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Bitcoin Depot, (below). Of course, keep in mind that there are other factors to consider, too. Hedge funds don't have many shares in Bitcoin Depot. With a 65% stake, CEO Brandon Mintz is the largest shareholder. With such a huge stake, we infer that they have significant control of the future of the company. It's usually considered a good sign when insiders own a significant number of shares in the company, and in this case, we're glad to see a company insider with such skin in the game. Meanwhile, the second and third largest shareholders, hold 4.8% and 3.2%, of the shares outstanding, respectively. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our most recent data indicates that insiders own the majority of Bitcoin Depot Inc.. This means they can collectively make decisions for the company. Given it has a market cap of US$397m, that means they have US$277m worth of shares. Most would be pleased to see the board is investing alongside them. You may wish todiscover (for free) if they have been buying or selling. The general public, who are usually individual investors, hold a 16% stake in Bitcoin Depot. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. It's always worth thinking about the different groups who own shares in a company. But to understand Bitcoin Depot better, we need to consider many other factors. Be aware that Bitcoin Depot is showing 2 warning signs in our investment analysis , and 1 of those is significant... But ultimately it is the future, not the past, that will determine how well the owners of this business will do. Therefore we think it advisable to take a look at this free report showing whether analysts are predicting a brighter future. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
