Business
Bitcoin ATM introduced
New ATM machines where customers can buy or sell digital currency, and sometimes extract hard cash are seen stationed at different highways spots across U.S. The machines have multiplied quickly through the United States over the past year.
As of January, there were 28,185 Bitcoin Automated Teller Machines (ATM) in the United States, according to howmanybitcoinatms.com, an independent research site. Roughly 10,000 came within the prior five months.
Bitcoin’s growing popularity has been the primary driver for new installations.
The reasons people use ATMs rather than transacting online vary. Some get paid in cash, some lack bank accounts, some want to send remittances abroad or want anonymity, while others feel more comfortable interacting with a physical machine.
Some machines only offer Bitcoin, while others let customers invest in various digital currencies. Few bitcoin ATMs can actually spit out cash, and they cost more than regular ATMs or transacting online.
Fees range from 6% to 20% of a total transaction, said Pamela Clegg, director of financial investigations and education at cryptocurrency compliance firm CipherTrace. Fees vary depending on the location and Bitcoin ATM operator.
The growth of the ATM market - it is not even a gentle increase, it is almost a 45% increase and the growth is quite astonishing.
Las Vegas-based Coin Cloud has 1,470 machines around the United States and expects to have 10,000 by year-end whereas Chicago-based competitor CoinFlip grew its ATM footprint from around 420 last year to 1,800.
Transactions per ATM nearly tripled during the pandemic period.
Atlanta-based Bitcoin Depot similarly grew its number of ATMs from 500 to more than 1,800 machines over the past year.
General Bytes, sold 3,000 machines last year, 90% of which went to North America, said founder Karel Kyovsky.
Quad Coin’s Shoiket removed a handful of the 200 ATMs he installed last year because they had not turned a profit within six months.