Bitcoin ATMs normalizing Cryptocurrency

[DdmrDdmr]

The growth of Bitcoin ATMs worldwide has gone from 4.090 (January 2019) to 6.708 (January 2020), which represents an increase of 66,21%. Nevertheless, the core volume still resides in the US:

US (gone from 2.295 to 4.535 in a year – up 97,60%)
Canada (gone from 615 to 682 in a year – up 10,89%)
UK (gone from 201 to 283 in a year – up 40,80%)
Austria (gone from 257 to 175 in a year – down 31,90%)
Spain (gone from 61 to 71 in a year – up 16,39%)
Switzerland (gone from 46 to 84 in a year – up 82,61%).

Data derived from https://coinatmradar.com/charts/growth/

It’s not that big a thing really, but rather much more of a niche product (as opposed to a do-it-yourself approach on an exchange), and as such, with a limited scope of reach. Whether the numbers will rise wildly and the geographical scope further extended is yet to see, and will largely depend on how thing progress (usability, usage, legislation, costs, KYC, anonymity, etc.).

[shield132]

My friend has bar in a prestigious place and has bitcoin ATam there. For a while I was pretty often in his bar and to be fair I have never seen anyone was withdrawing bitcoins via it. The only moment that I saw was that one old woman forgot to pay bills and somehow reminded it when she went near to our bar. She came here and was trying to pay bills via bitcoin ATM, she didn't understand anything and said, wtf is this, then came to us and asked for help. It was very funny moment.
So I can't understand why number of bitcoin ATMs increase, is there really high demand on it in your countries?

[The Sceptical Chymist]

join the Hype Train

You know, that's kind of all I think this is.  That growth rate of bitcoin ATMs is quite astonishing, though, and I wouldn't have expected that many new ones to pop up because I'm not sure how many people are actually using them and how much of a demand there are for them.

The big problem with these machines is the fees, as has been mentioned.  I'd love the convenience of a nearby ATM where I could buy bitcoin if only they didn't charge so much--and I don't even mind the KYC documents I'd have to provide either.  It's just that it costs so damn much over the market price that it really isn't worth it.  I can usually get preev 1:1 deals on this forum, so why would I waste money?

US (gone from 2.295 to 4.535 in a year – up 97,60%)
Canada (gone from 615 to 682 in a year – up 10,89%)

Wow X 2.  That's impressive, but as I said I wonder how much use these ATMs are getting.  I'd really like to see some hard data on that.

[Maslate]

I wish that Bitcoin ATMs here in my country would spread out faster than a wildfire. It seems that it is being focused on spreading around the capital, and that's a lot of miles for me and it won't be that worth it just for cryptos.
I wonder if there's a lot of people that wanted to build these types of business, but can't do it due to less people using cryptos especially Bitcoin.

People will be more aware about the existence of bitcoin and its proper usage if they will be given free education about cryptocurrencies particularly bitcoin. Bitcoin atm machines will be more useful if the people themselves know how to use it already. These machines might be widespread in some countries but in my own country, i have never seen this until today.

[BTMBitcoinVN]

We are currently in Vietnam the largest operator of Bitcoin ATM's, however operating a fleet of machines is by no means easy.

Unfortunately it is far from "plug&play", forget about it and collect some $ at the end of the month of it.

The overhead to operate such machines is tremendous: Regular hardware issues, customers who manage to clog up the bill recipient with terribly folded/crumbled bills or force-inserting their money (despite stickers with clear indication of what is what) into the printer slit instead of the bill acceptor... - shaky Internet or power connection; physical safety, issues with software & telco providers... - as a start.

And by that we have not even touched another elephant in the room which provides uncertainty/burden to the business: Regulation!

And if you want to build up anything like a regular customer flow the rule number one is: Keep your damn machines online and fix problems within hours max.!

Operating them as a hobby won't work in most cases, so it will be necessary to build up a dedicated team which learns about all the quirks & features of the machines; establishes direct connections with hardware & software vendors for fast support; is able to react fast on any issues occurring; knows how to manage cash/crypto balances to "never" run out of funds while at the same time manage the risk tightly.

When the BTM Department of BitcoinVN launched in 2016 with its first machine it was indeed nothing more than a "side business" without dedicated staff which of course had impact on the service level.

By now we have established a specialized team operating the current machines and expanding the network further location by location. It ain't easy, but our team is learning day by day and gaining some more experience and knowledge every day.

Far from easy money, but if you are willing to put in the work; be patient and build up a team it can become a business.



For those of you are interested, we recently started expanding our network further: https://bitcointalk.org/index.php?topic=5198437.msg53598912#msg53598912

[romero121]

Worldwide we've got more than 6000 cryptocurrency ATMs for usage. This number has increased big compared to the previous year's implementation of bitcoin ATMs. There is large number of ATM being set on the third world countries which is the real success. Further the usage of cryptocurrency ATMs need to be encouraged, because at present the usage is low as the fee is high than exchanges.

[qwertyup23]

They will be useful only then they will have normal fees

I agree with this statement.

Currently, the Philippines has only two (2) bitcoin ATMs and they started on the year 2016. As far as I know, there are no updates regarding the further developments about the units and plans if they are to increase its number. Based from what I heard in our community, the fees are significantly higher compared if you withdrew your bitcoins using your local exchange. Nevertheless, news like these are generally positive and may attract more users in investing into bitcoin.

[Required_information]

Yes the oresence of Bitcoin ATM's can help normalise Crypto particularly Crypto.

Its exposure along with the introduction of Bitcoin wallets pre installed on new
mobile devices which let people know its ok, normal and not a negative thing
to own or play with Bitcoin.

https://www.[Suspicious link removed]2019/2/25/18233131/samsung-galaxy-s10-bitcoin-cryptocurrency-wallet-features

While the transaction rates are quite high by using the ATM's im not sure how
much usage they get but they can offer a certain level of anonymity.

They have high fees that's why they are not preferred. Secondly these ATMs have cameras and finger print system installed so visiting these ATMs will be like giving your ID to atm operator.

This is true... but but is there a better way to buy bitcoin anonymously? Can't you just tumble your bitcoins to get anonymity?

If you buy bitcoin online, you have to use a credit/debit card. Even if you use a debit card you paid using cash, you have to somehow verify your identity to use a debit card online. So how will you get true anonymity?

[slaman29]

I don't believe it's the case. Bitcoin ATMs around my area do not seem popular at all, and the models that are present around my area seem to worth around 20,000 USD or something. I highly doubt that the ones around my area are making a lot of profit, especially with maintenance fees (and keep in mind that this area is basically the business district of my city).

Most investors will rarely use ATMs. They charge horrific spreads and using exchanges, or other P2P platforms are a lot cheaper, and sometimes more convenient for people.

Personally I think it comes down to Bitcoin, itself seeing a lot of growth during the years, and then people trying to jump on the bandwagon and profit off ATMS.

I'd like to see an exact number/percentage to how much ATMs make per transaction, and how much they've made.

This is just what the same experience I've had with Bitcoin ATMs. I've seen one, and it looks so old and dusty as if nobody ever used it. And in my whole life interacting with bitcoin users none have ever used BATMS simply because it's far cheaper to buy with p2p or even directly from an exchange.

But apparently reading the operators own reports, they make money. You can find them on the news if you Google. Which is why they keep expanding. **shrugging**

[Debonaire217]

The increase of the number of ATM in every country is a significant reason why we should think why cryptocurrency is getting huge adoption over time.  IMO, in the future, more people will engage in cryptocurrency because of it, and the government will take it seriously, whether to allow the usage of it or to stop it, though, with the increasing adoption of cryptocurrency, as it becomes normal for people to see bitcoin and cryptocurrency, I don't think government will still have the reason not to adopt it, especially if it already proves helpful for the community.

[wozzek23]

Yeah you’re right about what you have said🤔 for those that are asking whether that even helps in the adoption of bitcoin, imagine when someone that doesn’t know about Bitcoin tries to use the ATM with their normal bank card and they are being told that the ATM is a Bitcoin ATM. They would be like ‘bitcoin? What is Bitcoin? After that they will be curious to know what Bitcoin is all about and then they will start doing research to know more about it.

So like the OP said, it might not create a noticeable increase in adoption but it will normalize it, and by the time people starts seeing it as a regular thing they would start to develop interest.