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Bitcoin Bancorp plans to deploy up to 200 licensed Bitcoin ATMs across Texas starting in the first quarter of 2026, entering a market that already hosts more than 4,000 crypto kiosks—the highest number of any U.S. state.
The announcement sent shares of the publicly traded company up 7.83% on the day, with the stock gaining 29.53% over the past five days.
Bitcoin Bancorp trades over the counter under the ticker BCBC and is one of only three publicly traded Bitcoin ATM network owners in the United States. The company says it holds foundational patents tied to Bitcoin ATM technology.
Eric Noveshen, a director at Bitcoin Bancorp, said agreements are already in place that could support faster revenue growth as the company moves from planning into execution.
The expansion builds on Texas’ position as the center of U.S. crypto ATM activity. Large national operators including Athena Bitcoin, Bitcoin Depot, Coinhub, Cryptobase, and Byte Federal have established networks across major cities including Houston, Dallas, Austin, and San Antonio.
The state’s appeal to ATM operators stems largely from its regulatory structure. Texas law treats virtual currency as a form of money under the Texas Money Services Act, placing Bitcoin ATM operators within a familiar licensing regime overseen by the Texas Department of Banking.
Companies must obtain a money transmitter license, meet minimum net worth requirements of at least $500,000, post a surety bond of no less than $150,000, and submit to regular examinations. State rules also require operators to clearly disclose fees, exchange rates, and complaint procedures to consumers.
Bitcoin Bancorp’s expansion comes as federal oversight of crypto ATMs intensifies. At the federal level, Bitcoin ATM operators are classified as money services businesses under the Bank Secrecy Act, placing them under Financial Crimes Enforcement Network supervision.
Operators must maintain formal anti-money laundering programs, conduct customer identity verification, and monitor transactions for suspicious activity. Identity checks scale with transaction size, ranging from basic phone verification for smaller amounts to government-issued identification and enhanced due diligence for larger transfers.
Federal requirements also include filing currency transaction reports for cash transactions exceeding $10,000, submitting suspicious activity reports when necessary, and retaining records for a minimum of five years.
Federal lawmakers are moving to further regulate the sector through proposed legislation addressing fraud concerns. The Crypto ATM Fraud Prevention Act of 2025, introduced in the U.S. Senate as Bill S. 710, has been read twice and referred to the Senate Committee on Banking, Housing, and Urban Affairs.
Key provisions include mandatory registration of virtual currency kiosks with the U.S. Treasury and requirements for operators to provide clear pre-transaction disclosures outlining terms, fees, and warnings that transactions are final and non-refundable.
The bill also mandates prominent fraud warnings on kiosks, physical receipts containing transaction details and fraud-reporting information, and written anti-fraud policies submitted to FinCEN.
Bitcoin Bancorp’s Texas rollout will unfold against this backdrop of increasing federal attention to crypto ATM operations, as regulators respond to rising consumer use and fraud concerns in the sector.
