Bitcoin Depot Inc.'s Canadian subsidiary, BitAccess, has been ordered to pay $18.47 million in damages to Cash Cloud Inc., a bankrupt cryptocurrency ATM operator. The decision follows a 14-month arbitration process concerning alleged defects in hardware and software that led to ATM malfunctions. The ruling, disclosed in an 8-K filing, is legally binding and enforceable as a court judgment.
In addition to the arbitration, Cash Cloud is seeking the same amount in the U.S. Bankruptcy Court in Nevada, where it filed for Chapter 11 bankruptcy in February 2023, citing debts exceeding $153.9 million. Bitcoin Depot has dismissed the U.S. litigation as baseless, highlighting significant overlap with the Canadian arbitration case. Despite these legal challenges, Bitcoin Depot reported $162.5 million in revenue and a $5.5 million net profit for the third quarter, though both figures showed a decline from the previous quarter.
Bitcoin Depot Subsidiary Ordered to Pay $18.5M in Arbitration Ruling
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
