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Bitcoin ATMs Reign Supreme in East and South London

The confidence of residents of East and South London has been boosted as they no longer have to fear crypto scams based on the flourishing number of Bitcoin ATMs.

With around 15 ATMs spread across this area, the trading process is continuously being simplified across the entire ATM network, which consists of at least 150 machines in the whole of London.

Based on statistics availed by BCB ATM, an operator of Bitcoin ATMs in East London, these machines are used 30 to 40 times daily.

Bitcoin ATMs Gaining Traction among Users

Small traders and individuals are favoring the Bitcoin ATMs as they are an easy way of getting started in Bitcoin usage. Additionally, the instant processing payment offered is advantageous as users avoid the online market thriving with scam websites.

Some of the limitations provided when using the Bitcoin ATMs include trades that must not exceed £500 daily. Additionally, a user is subjected to an ID verification process before any transaction is permitted.

The CEO and Founder of BCB ATM, Landry Ntahe, acknowledged: “In London, especially in East London, we are seeing more interest from retailers to install ATMs as they recognize that they drive traffic into stores, and shoppers then tend to spend [a] while in the shops.”

He also added: “Over the last year, we have seen rapid growth in the adoption of Bitcoin, and consequently for our machines, as people become more confident about using the online currency.”

The Bitcoin market in East and South London is projected to continue thriving as it is seen as the new way of doing business, making Bitcoin ATMs ideal.

Image via Shutterstock

El Salvador Standing by to Rollout 200 ATMs for Converting Bitcoin to Cash

El Salvador’s government has started installing Bitcoin ATMs to allow citizens to convert the crypto into US dollars and withdraw it in cash.

El Salvador President Nayib Bukele stated that his government plans to install the first 200 Bitcoin ATMs to accompany its digital wallet called “Chivo”. The president also announced that there would be 50 financial branches across the nation for withdrawing or depositing money.

However, president Bukele stated that the use of Bitcoin as legal tender would not be mandatory.

Bukele talked about the use of Bitcoin digital wallet, stating that citizens will be able to accept payment in Bitcoin or dollars, download a digital wallet called “Chivo” and manage the cryptocurrency from there, or converted it into cash at one of the 200 ATMs that will be available in the country.

Bukele also announced that such Bitcoin transactions would be commission-free, stating that El Salvador residents will receive money from friends or family and send and receive remittances through Bitcoin without paying a single cent of commission to anyone.

He stated that his government would not force any of the country’s citizens to receive Bitcoin as a payment method.

“If they want to. If they don’t, don’t download anything, and that’s it,” President Bukele.

Bukele further mentioned that Salvadorans abroad would use Bitcoin to send money instantly to family members living in the country – they can send Bitcoin or send dollars if they want. The adoption of Bitcoin will save local citizens $400 million per year in fees for receiving remittances from abroad, President Bukele added.

Last week, Finance minister Alejandro Zelaya stated in a local TV interview that the use of Bitcoin and digital wallets in El Salvador would be “totally optional,” and businesses that do not accept the cryptocurrency will not be penalised.

Furthermore, the finance minister said that El Salvador’s Bitcoin law would take effect on September 7. Citizens will be able to download the government’s Chivo digital wallet, enter their ID number and receive a bonus worth $30 in Bitcoin.

Developing Nations Could Follow El Salvador

El Salvador lawmakers passed the bill in June this year, recognising Bitcoin as legal tender. President Bukele signed the law afterwards, and the nation had to wait for another 90 days for the law to be fully enacted in the country’s Official Gazette by September 7. Bukele said that the Chivo wallet app would be available in app stores by September 7 as well.

El Salvador made a historic and unprecedented move that spurred excitement in the cryptocurrency communities and caused scepticism for some stakeholders. The World Bank rejected El Salvador’s request for assistance with the implementation of Bitcoin as legal tender. The IMF (International Monetary Fund) also warned El Salvador against using Bitcoin as legal tender.

Following El Salvador’s move to make the cryptocurrency legal tender, politicians in Panama, Brazil, Paraguay, and Argentina took social media to endorse the decision.

Of these countries, it looks more likely that Paraguay and other developing nations will soon follow El Salvador’s example or at least introduce favourable laws towards cryptocurrencies.

Walmart Installing Bitcoin ATMs in its Retail Stores

Walmart Inc, the world’s largest retailer, announced on Thursday, October 21, that customers at some of its U.S. stores will be able to buy Bitcoin using ATMs installed by Coinstar.

Walmart stated that it has begun a pilot program where consumers can purchase Bitcoin as Coinstar kiosks in some of its U.S. stores.

Molly Blakeman, Walmart communications director, talked about the development and stated that:

“Coinstar, in partnership with Coinme, has launched a pilot that allows its customers to use cash to purchase bitcoin. There are 200 Coinstar kiosks located inside Walmart stores across the United States that are part of this pilot.”

Mr. Blakeman said that the pilot test by Coinstar started earlier this month, and the pilot program includes 200 kiosks in Walmart stores.

The program is part of a broader initiative by Coinstar, which has partnered with a cryptocurrency exchange and payment firm called CoinMe that specializes in Bitcoin ATMs, to allow customers to purchase Bitcoin at some of its kiosks.

The Walmart spokesperson stated that there are 200 Coinstar kiosks located inside Walmart stores across the U.S. that will allow consumers to purchase Bitcoin.

Coinstar, which is best known for its machines that allow customers to exchange physical coins for cash, plans to provide Bitcoin at more than 8,000 kiosks worldwide.

Walmart Expanding Its Virtual Payment Options

Walmart is testing the pilot service program weeks after the firm became a subject to a cryptocurrency hoax in September when a fake press release was published, claiming that Litecoin (LTC) would be accepted as payment at Walmart stores. The phoney news sent values of the little-known crypto token surging.

Though the announcement was false, Walmart is examining the future of cryptocurrency in its business operations.

As reported by Blockchain.News in August, Walmart advertised to hire cryptocurrency experts to help the firm develop “the digital currency strategy and product roadmap” while identifying “crypto-related investment and partnerships,” a time when an increasing number of Fortune 500 companies warm up to digital currencies.

22 Bitcoin ATMs Established Globally Per Day in March, Study Shows

The number of Bitcoin ATMs continues to rise, it is estimated that 22 machines were installed per day last month, according to a study by Finbold.

Statistics indicated that the number of BTC ATMs surged to 36,709 on April 1 from 36,023 recorded on March 1, increasing by nearly 2%. Per the report:

“22 Bitcoin ATMs were added daily in March alone, as the number of Bitcoin machines installed over time continues to grow.”

Therefore, an increase in Bitcoin ATMs shows that crypto adoption continues to tick as more participants jump on the bandwagon. Furthermore, they play an instrumental role in availing the much-needed infrastructure when buying and selling Bitcoins.

According to Coin ATM Radar, the number of Bitcoin ATMs spread across 26 countries stood at 36,733 as of April 11.

Source: Coin ATM Radar

Bitcoin ATMs have become famous on American soil, given that nearly 20,000 new machines were established in 2021 with more than 50 machines were established daily, according to Finbold.

Part of their popularity is driven by demand from crypto investors who want to avoid Know Your Customer (KYC) requirements needed in cryptocurrency trading platforms.

Meanwhile, some retailers offer the crypto ATM service options as part of the digitization efforts needed to optimize their customer satisfaction rates. For example, Walmart partnered with crypto companies Coinstar and Coinme to install Bitcoin ATMs across its retail stores in October 2021.

Earlier this year, Airbnb’s co-founder and CEO, Brian Chesky, disclosed that crypto payments ranked the top suggestion from customers when it comes to better service provision, Blockchain.News reported.

This observation was made after Chesky asked his Twitter followers what they would like the company to improve or launch in 2022.

Declining trend in physical crypto ATMs

Despite the growing global adoption rate of Bitcoin and other cryptocurrencies, the number of physical ATMs dedicated to fiat-crypto conversions is on the decline. Coin ATM Radar data reveals that 3,627 crypto ATMs were removed from the network in March 2023, bringing the total number of ATMs to 33,727. This represents a significant reduction in the number of crypto ATMs available for public use, and it marks a reversal of the trend that had been ongoing for most of the decade since the first Bitcoin ATM was launched on Oct. 29, 2013.

Net crypto ATM installations have generally remained positive over the years, indicating a steady increase in total crypto ATMs worldwide. However, the trend is now reversing, as shown by data from Coin ATM Radar. Between September 2022 and March 2023, net crypto ATM installations declined for four months. March 2023 stands out as the month with the largest monthly decline, with 3,627 crypto ATMs being removed from the network.

The chart above shows the number of Bitcoin machines installed over time, revealing the sudden drop in the total number of crypto ATMs. This reduction is significant, considering that the highest number of ATMs installed in a single month was 2,048, recorded back in January 2021.

Despite the decline, there is a bright side as April broke the three-month-long downtrend by recording 37 crypto ATM installations on April 1. General Bytes, BitAccess, and Genesis Coin are the current market leaders in manufacturing crypto ATMs. General Bytes, however, faced a security incident in March that saw its customers’ hot wallets accessed and lost some customer funds. The company promised to reimburse the losses and issued a statement saying, “We have taken immediate steps to prevent further unauthorized access to our systems and are working tirelessly to protect our customers.”

The decline in physical crypto ATMs could be due to several factors. One possible explanation is the growing use of digital wallets and online platforms that allow for easy cryptocurrency trading without the need for physical ATMs. Another possible factor is the lack of regulatory clarity in some countries, making it difficult for operators to comply with local laws and regulations. Additionally, the COVID-19 pandemic and associated lockdowns could have led to reduced demand for physical ATMs.

In conclusion, the declining trend in physical crypto ATMs is a cause for concern for those who prefer to use physical ATMs to convert fiat to cryptocurrencies. However, the emergence of digital wallets and online platforms provides an alternative means of accessing and trading cryptocurrencies. As the cryptocurrency market continues to evolve, it remains to be seen how physical crypto ATMs will adapt to changing market conditions and regulatory environments.

Decline in Cryptocurrency ATMs in 2023: A Global Perspective

For the first time in a decade, there was a notable decrease in the number of Bitcoin ATMs installed worldwide. As of January 1, 2024, Coin ATM Radar reported a reduction to 33,628 ATMs, down from 37,827 on January 1, 2023, representing an 11.1% decrease.

This trend reversed a steady growth observed since Coin ATM Radar began tracking crypto ATMs in October 2013. August 2022 witnessed the peak with 39,376 ATMs globally. However, the most significant decline occurred in the United States, which saw a 15.4% reduction in its ATM count. Despite this, the U.S. still hosts 82% of the world’s crypto ATMs.

The decline can be partly attributed to the performance of specific manufacturers. BitAccess, a key ATM manufacturer, saw a 26% decrease in its net installations, dropping from 9,160 in August 2022 to 6,774 by January 2024. In contrast, manufacturers like General Bytes and Genesis Coin continued to grow their Bitcoin ATM installations throughout the year.

Notably, Bitcoin Depot, a leading player in the crypto ATM space, expanded to its 28th U.S. state and reported a 3% year-on-year revenue increase in Q3 2023, despite fluctuations in Bitcoin’s price. This growth indicates continued demand for cryptocurrency ATMs in specific markets.

While the global and U.S. numbers declined, the trend in the European Union was positive. The EU saw a slight increase, with the number of crypto ATMs rising from 1,538 at the beginning of 2023 to 1,548 in 2024. Other countries like Canada, Australia, Spain, and Poland also experienced growth in their Bitcoin ATM installations, highlighting a more diverse and region-specific adoption pattern.

The use of Bitcoin ATMs, often crucial for the underbanked or unbanked, has been rising due to their ease of access. Despite higher fees compared to online crypto exchanges, BTMs offer immediate conversion of physical cash to digital currency, facilitating peer-to-peer transactions, cross-border payments, and familial monetary support. This convenience continues to drive their popularity among a certain segment of users.

However, the industry faces challenges, including scams, money laundering, and regulatory compliance. The market is undergoing consolidation as larger companies acquire smaller operators, partly due to the difficulties in maintaining regulatory compliance.