Well-known blockchain expert Zachary Wolk, also known as ZachXBT, has warned cryptocurrency users not to trust Bitcoin Depot, one of the largest users of Bitcoin Automated Teller Machines (ATMs) in the United States, on April 22.
As Bitcoin Depot encouraged crypto users to use its more than 9,000 Bitcoin ATMs (BTC) launch, ZachXBT revealed otherwise. He added that Bitcoin Depot could end up costing users a lot of money, as it has helped fraudsters get rid of old people recently.
“I strongly recommend that no one give Bitcoin Depot ATM their business. Why was an elderly fraudster recently allowed to convert $25,000 into BTC via a Bitcoin Depot ATM in the US? ZachXBT he said.
He added that Bitcoin Depot deals in price manipulation and has fraud control capabilities. Likewise, the lack of security has made it easier for fraudsters to target the elderly and vulnerable crypto users. Also, the researcher on the chain showed that the victim paid $25,000 for 0.232 BTC, which is actually worth only $17,500, Indian call scammers.
Meanwhile, an on-chain researcher has revealed that Bitcoin Depot made false claims through a recent update reservation and the United States Securities and Exchange Commission (SEC).
ZachXBT’s blockchain investigation found that the suspicious leak began on March 20, three days before the company’s reported date, indicating a three-day delay in detecting the breach. The researcher also identified 54,45 BTC across 19 stolen addresses, thus exceeding the disclosed 50.903 BTC.
The problem is growing for Bitcoin ATMs in the US
US BTC ATM features have faced major challenges amid a spate of fraud. According to the Federal Bureau of Investigation (FBI) Internet Crime Complaint Center (IC3) 2024 Year Reporthackers stole $246.7 million through crypto ATMs in 2024.
This number will rise to more than $333 million in 2025, according to the FBI datahighlighting the growing national threat from unregulated crypto ATMs.
In light of this, child rearing methods have also weakened. The number of Bitcoin ATMs in the United States has decreased by about 2% in the first quarter of 2026, falling to about 30,229 units, as before. report and Finbold.
A similar pattern is happening in Europe. According to MarketSleek analysis, the number of crypto ATMs in the region decreased from 1,754 in January to 1,747 at the end of Q1 2026.
The data shows a quarter-on-quarter decline followed by a slight recovery, but overall shows a gradual rise, encouraging a global slowdown in crypto ATM expansion.
