According to Investopedia, Bitcoin “is a digital currency that was created in January 2009. It follows the ideas set out in a whitepaper by the mysterious and pseudonymous Satoshi Nakamoto.The identity of the person or persons who created the technology is still a mystery. Bitcoin offers the promise of lower transaction fees than traditional online payment mechanisms and, unlike government-issued currencies, it is operated by a decentralized authority.”
Investopedia also states that Bitcoin “is a type of cryptocurrency. There are no physical bitcoins, only balances kept on a public ledger that everyone has transparent access to. All bitcoin transactions are verified by a massive amount of computing power. Bitcoins are not issued or backed by any banks or governments, nor are individual bitcoins valuable as a commodity. Despite it not being legal tender, Bitcoin is very popular and has triggered the launch of hundreds of other cryptocurrencies, collectively referred to as altcoins. Bitcoin is commonly abbreviated as ‘BTC.’”
Given that Bitcoin is a cryptocurrency, with no physical presence, why the rise in Bitcoin ATMs across the globe?
Bitcoin ATMs allow customers to use cash to purchase Bitcoin. Given that 6% of adults in America were unbanked in 2019 and an additional 18% were underbanked, the ability to purchase Bitcoin using cash goes far to preventing Bitcoin from becoming accessible only to the wealthiest investors.
Additionally, using a Bitcoin ATM allows customers to sell their Bitcoin and withdraw those funds in cash. This is not possible when purchasing and selling Bitcoin online.
Using a Bitcoin ATM is the fastest way to buy and sell Bitcoins. The transaction can take mere seconds from start to finish.
One of the great deterrents for people considering purchasing Bitcoin is the usability of online exchanges. Not everyone has easy access to online exchanges, not to mention the technological know how to navigate them. Bitcoin ATMs provide customers with easy access and usability to be able conduct transactions. Most people have used an ATM at some point which makes buying and selling Bitcoin at an ATM a pretty straightforward process.
Bitcoin ATMs on the Rise
The United States is the “ leading crypto ATM market, with 84% of all bitcoin ATMs globally,” according to an article on Yahoo Finance UK. And Bitcoin ATMs within the United States are on the rise, increasing by 70% in the last 6 months.
As the mainstream continues to accept Bitcoin as an accepted form of payment, the likelihood of seeing more and more Bitcoin transactions increases. In turn, having access to a Bitcoin ATM will likely rise.