Iowa Supreme Court rules in favor of Bitcoin Depot, a Bitcoin ATM operator

According to Decrypt, the Iowa Supreme Court ruled in favor of Bitcoin Depot, a Bitcoin ATM operator, demanding that the $28000 in cash involved in two fraud cases be returned to the company instead of the victims. The ruling overturned the lower court's judgment and determined that the operator had fulfilled its risk warning obligation through pre transaction warnings. The case involves two scams that occurred in July 2023 and February 2024, where the victims were induced to transfer $14000 worth of Bitcoin through a Bitcoin ATM in Linn County. Judge Dana Oxley pointed out in the judgment that operators cannot identify whether users have been coerced, and the transaction interface clearly requires users to confirm the ownership of the received wallet, so they should not be held responsible for fraud. Data shows that since October 2023, 98.16% of funds transferred through Bitcoin Depot in the state have been related to fraud. Meanwhile, Iowa Attorney General Brenna Bird is still suing Bitcoin Depot and peer CoinFlip, accusing the two companies of charging high transaction fees of 23% and 21%, and misleading refund policies.