On February 3, 2026, Massachusetts Attorney General Andrea Joy Campbell filed a lawsuit against cryptocurrency kiosk operator Bitcoin Depot Inc. and Bitcoin Depot Operating LLC for allegedly using misleading and deceptive sales tactics to overcharge consumers, knowingly facilitating crypto scams, refusing to issue refunds to scam victims, and deceiving investors about the level of scam activity on Bitcoin Depot kiosks.
Bitcoin Depot owns thousands of crypto kiosks, known as Bitcoin ATMs, throughout the United States including hundreds in Massachusetts. Bitcoin Depot sells customers Bitcoin through these kiosks, which are often located in minimarts, gas stations or other businesses with long hours.
The Massachusetts Attorney General’s Office alleges that Bitcoin Depot knowingly profited from widespread scam activity at its kiosks, with more than 80% of transactions over $10,000 between August 2023 and January 2025 tied to scams and nearly 60% of its in-state revenue during that period coming from such transactions. Despite internal warnings, the company allegedly removed fraud safeguards, failed to question large transactions, and often refused to refund fees. The complaint also claims Bitcoin Depot misled consumers by initially displaying lower Bitcoin prices and adding hidden fees throughout the transaction, applying markups ranging from 15% to 50% that could amount to thousands of dollars on large purchases.
The lawsuit is seeking a court order to prevent Bitcoin Depot from accepting large transactions without taking additional steps to prevent fraud in addition to refunding monies to harmed customers.
Read the Massachusetts Attorney General’s Office’s press release here.
