Cryptocurrency had a hard time getting accepted by many users in its earliest days, but cryptocurrency ATMs have made things much easier. These machines let users buy digital assets and even exchange them.
The deployment of cryptocurrency ATMs has resulted in more than 20,000 such machines being installed around the world. These locations have been a notable factor in the explosive growth of cryptocurrencies in the last year or so.
In 2021, the total global value of all cryptocurrency ATMs reached more than $75 million. Reporting from Grand View Research predicted a rate of compound annual growth of over 59% each of the next seven years. By then, the total value could be just under $2 billion.
Bitcoin is the leading digital asset for both the broader cryptocurrency industry and the ATM-specific sector. Approximately one-third of all ATM-collected revenues in 2021 were specific to Bitcoin. Grand View Research’s reporting indicated that one reason why cryptocurrency ATMs were more sought after was because of how many more places were accepting Bitcoin as a method of payment.
Companies Jumping In
AMC Cinemas and Walmart are two big chains that have taken steps to embrace Bitcoin and other different cryptocurrencies as acceptable methods of payment. Paypal has also jumped onto the bandwagon, which is only fitting as it was a rather novel payment method in its own right a generation ago. Walmart, in October of 2021, announced a new partnership with Coinstar, a coin-cashing machine supplier, and Coinme, a crypto-cash exchange service. The goal of this partnership is the eventual installation of 200 BTC ATMs in United States stores.
Many Bitcoin and crypto users also think of these ATMs as being safe places to do business to do a crypto exchange. This is in no small part due to the efforts that ATM manufacturers and owners are undertaking to minimize the threat of cyber attacks.
Current reporting suggests that the restaurant/hospitality sector is responsible for more than one-third of all the revenue from these machines. Having said that, data suggests that commercial outlets will become the dominant segment in the near future.
NCR Corporation is already a leading maker of convention ATMs, with 750,000 machines and other digital touchpoints present in 140 different nations. They recently bought LibertyX, a provider of crypto ATMs. Soon, NCR customers will be able to buy and also sell various crypto assets across the entire network.
More Nations Embracing the Concept
Crypto ATMs aren’t just happening in North America anymore. Uruguay installed its first such machine several weeks ago, and the nation’s government funded some of this.
Further fueling the embrace of crypto-specific ATMs is the approval of entire national governments. El Salvador may have really paved the way on this, as they installed more than 200 such machines last year following the acceptance of Bitcoin as a legal tender.
Latin America presents an opportunity for serious growth in terms of cryptocurrency. At the time of writing, the entire region only accounted for a fraction of a percentage point of all Bitcoin ATMs. Santo Blockchain wants to expedite matters, as they are looking to buy 300 Bitcoin ATMs in the coming year and install them throughout the region. Panama looks to be first with 50 ATMs. Columbia and Costa Rica are assumed to be next.
Appeal to Users Fuels Growth
A lot of the overall market growth is fueled by the growing numbers of cryptocurrency users. They need crypto ATMs as places to turn their cryptocurrency holdings into local fiat money. TripleA is a cryptocurrency payment business that estimates the planet had approximately 300 million cryptocurrency owners just last year overall.
Cryptocurrency users can enjoy many benefits from crypto ATMs. First, they have access to simpler trading possibilities. Second, they don’t have to establish accounts or mess around with lengthy public keys. Crypto ATMs generate transaction receipts automatically with both public and private keys formed as QR codes.
The global pandemic has a significant influence on market growth. Easy access and lower fees helped draw people to cryptocurrency investments during the early parts of the pandemic. In fact, nearly half of all Americans bought cryptocurrencies in the last year.
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