Bitcoin (BTC) may have increased above the $ 100,000 brand last year, but not all Bitcoin -centered companies benefited from the price action.
Bitcoin Depot (BTM), a company that specializes in the sale of Bitcoin ATMs, has seen a loss of income of $ 150 million in the fourth quarter of 2022 to $ 137 million in the fourth quarter of 2024.
The lowest transaction volume was mainly due to regulatory changes in the state of California, the firm told Coindesk. In addition, Bitcoin Depot’s cash flow has historically not correlated with Bitcoin’s price action, said Brandon Mintz, president and CEO of the firm.
“Even when we saw that clash in 2022, transactions volumes were still growing,” he said.
Bitcoin Depot shares have dropped approximately 85% since it began to quote at NASDAQ after its merger with a special purpose acquisition company (SPAC) in 2023. The company’s market capitalization is $ 30 million.
The firm ruled out the idea that Spot Bitcoin Exchange Cited Funds, which were launched in the United States in January 2024, may have diverted some of the company’s flows. “Historically, our business is not directly linked to the price of Bitcoin or in investment vehicles such as ETF,” said a spokesman in a statement sent by email. “We have not seen evidence that the ETFs have impacted our transaction volumes.”
Bitcoin Depot, said Mintz, tends to serve non -banking Americans, as well as people who simply prefer to perform cash transactions, older people who are not accustomed to using online payment options and cryptographic people who find that giving cashcoin is more convenient. “It is a niche client segment in which we are focused,” said Mintz.
Bitcoin Depot Buy the ATM kiosk to another company, but provides the machine’s bitcoin software. The prices of new machines generally vary from $ 5,000 to $ 7,000, and the company takes approximately one year to reach the cost of a machine once it has been installed.
ATMs only sell Bitcoin. “We used to offer other cryptocurrencies, but when we were public, the SEC was demanding many companies for selling other types of crypts that the SEC said they were potentially values, so we decided to go to Bitcoin alone and avoid that risk,” Mintz said. “We believe it was an intelligent choice, because we are attracting people who are not very sophisticated merchants, this is a very friendly product for beginners.”
Bitcoin Depot has seen almost $ 3 billion in volume of transactions from the beginning in 2016, according to the recent presentation of the company’s investors. While the company has focused mainly on North America, Mintz floated the idea of expanding internationally, citing market saturation.
