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Related Party Transactions
 6 Months Ended
Jun. 30, 2023
Related Party Transactions [Abstract]  
Related Party Transactions
(5) Related Party Transactions
During the six months ended June 30, 2023, the Company distributed to
BT Assets
112.4 LTC and 7.5 ETH with a total cost basis of $0.02
 
million
.
During
the
six months ended June 30, 2022, the Company distributed to
BT Assets
 
2,760 ETH with a total cost basis of $4.6
 
million
.
During the three months ended June 30, 2023 and 2022,
 t
he Company distributed to
BT Assets
$0.0 million and 1,209 ETH with a total cost basis of $2.1 million, respectively.
 Total cash distributions made to
BT Assets
during the six months ended June 30, 2023 and June 30, 2022 were $12.7 million and
$5.2 million, respectively and are classified as cash outflows from financing activities in the Consolidated Statement of Cash Flows.
During the three months ended June 30, 2023 and 2022, total cash of $12.2
million
 
and $1.6
 million
, respectively was distributed. 
The total cash and non-cash distributions are reflected in the consolidated Statements of Changes in Stockholders’ Equity. 
 
As part of the Merger, the Chief Executive Officer of the Company was issued 500,000 shares of Class A common stock under the Incentive Plan. The Company recognized compensation expense of $1.6 million during the three and six months ended June 30, 2023 and is included in selling, general and administrative expenses in the consolidated Statements of Income (Loss) and Comprehensive Income (Loss).
The Company entered into sale bonus agreements with an officer and an employee of Bitcoin Depot as part of the Merger. The Company agreed to pay bonuses to these individuals based on the results of the Merger. The Company accrued an aggregate bonus compensation payable of $2.0 million as of June 30, 2023. The compensation expense is included in selling, general and administrative expenses in the consolidated Statements of Income (Loss) and Comprehensive Income (Loss).
At the closing of the Merger, the Company entered into the Tax Receivable Agreement with BT HoldCo and BT Assets. Pursuant to the Tax Receivable Agreement, the Company is generally required to pay BT Assets 85% of the amount of savings, if any, in U.S. federal, state, local, and foreign income taxes that we realize, or in certain circumstances is deemed to realize.
Additionally, at the closing of the Merger, BT Assets had a payable to the Company for $0.8 million related to withholding taxes on the 500,000 Class A common stock issued as a transaction bonus to the Chief Executive Officer of the Company. The Company received the $0.8 million in early July 2023 and remitted this amount to the tax authority.
In connection with the closing of the Merger, the Company entered into separate indemnification agreements with its directors and executive officers. These agreements, among other things, require the Company to indemnify its directors and executive officers for certain costs, charges and expenses, including attorneys’ fees, judgments, fines and settlement amounts, reasonably incurred by a director or executive officer in any action or proceeding because of their association with the Company or any of its subsidiaries. No amounts have been recognized related to these agreements as of June 30, 2023.