Odaily Planet Daily reports: U.S. Bitcoin ATM operator Bitcoin Depot is facing dual pressures from regulation and performance. The Connecticut Commissioner of Banking, through its Division of Consumer Credit, has issued a temporary "cease and desist" order, suspending its money transmission license in the state. Regulatory filings indicate the company is suspected of violating the Money Transmission Act, including failing to maintain minimum net worth requirements, charging excessive fees, and not providing full refunds to fraud victims. Meanwhile, Bitcoin Depot has lowered its revenue forecast for 2026 in its latest financial report. The company expects its core business revenue to decline by 30% to 40% year-over-year in 2026, due to ongoing regulatory changes and rising compliance costs potentially suppressing transaction volumes. (Cointelegraph)
Bitcoin ATM operator Bitcoin Depot suspended in Connecticut over regulatory violations
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Summary
Bitcoin ETF approval remains a key focus for the market as U.S. Bitcoin ATM operator Bitcoin Depot encounters a regulatory setback. Connecticut’s banking commissioner has issued a temporary cease-and-desist order against the company, suspending its money transmission license. This action follows allegations of violating state law, including insufficient net worth, excessive fees, and incomplete refunds to fraud victims. Bitcoin Depot has also reduced its 2026 revenue forecast by 30% to 40%, citing rising compliance costs and evolving regulatory conditions. The timeline for a spot Bitcoin ETF continues to shape industry expectations.
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