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New strategies boost demand for crypto ATMs

As more people use cryptocurrencies, cryptocurrency ATMs offer a hassle-free way to exchange cryptocurrencies. Crypto ATM market players are focusing on advancing the technologies, along with adopting new strategies to expand the market.

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June 28, 2021 by Akshita Pacholi

Cryptocurrencies have attained phenomenal growth in the past few years. One of the most obvious signs of this rapid expansion of crypto ATMs.

On June 5, 2021, there were 21,142 bitcoin ATMs worldwide, compared to 10,782 on Oct. 2, 2020, according to Coin ATM Radar, a company which has tracked bitcoin ATMs since 2013. There were 17,974 bitcoin ATMs in the U.S. on June 5,2021 compared to 8,452 on Oct. 1, 2020.

According to a report published by Allied Market Research, the global ATM market is expected to reach $30.5 billion by 2027.

The main reason for the growing demand for crypto ATMs is the increasing number of new cryptocurrency investors. As more people use cryptocurrencies, cryptocurrency ATMs offer a hassle-free way to exchange cryptocurrencies.

Another reason is that new and advanced crypto ATMs offer maximum ease of use and convenience.

Service expansion drives growth

The crypto ATM market players are focusing on advancing their technologies, along with adopting new strategies to expand the market.

Bitcoin of America, for example, has recently unveiled its new universal kiosk that combines the functions of a traditional ATM and a cryptocurrency ATM. Presently, the company has more than 1,000 "BTM" locations in 31 states. Users can dispense cash from debit cards, buy cryptocurrency with cash and sell crypto in exchange for cash. Moreover, the product aims to augment the revenue streams for the BTM owners.

Coinme, another cryptocurrency financial services provider, has announced its expansion in Florida, with over 300 bitcoin-enabled kiosks to be located across the state.

Acquisition another growth strategy

Bot, another global technology company specializing in blockchain-based solutions and crypto-related business, has announced the acquisition of an ATM network and additional crypto resources. The acquisition includes agreements associated with ATM kiosks and backend software maintenance and location placement contracts.

The company is also planning to integrate cryptocurrency trading functionality with legacy banking ATMs, a trend that follows the financial industry's rising interest in digital assets. Financial institutions' adoption of digital assets supports the growth of consumer adoption.

Bot intends to simplify the selling and buying of cryptocurrencies from existing ATMs. Moreover, the company will be licensing its bitcoin ATM IP to independent operatives worldwide.

Partnerships emerge

Partnerships are also playing a major role among the players in the crypto ATM market. Recently, two of the leading bitcoin ATM manufacturing companies, ChainBytes and Hippo Kiosks, have partnered to provide bitcoin ATMs in Pennsylvania. Hippo Kiosks has reported that 20 of the bitcoin ATMs will soon be operating in Allentown for users to buy and sell bitcoin with cash. The partnership will support innovations in blockchain technology as well as the local economy.

The growth of cryptocurrency ATMs is part of the expansion of 24/7 self-service in every aspect of today's economy.

As technology has accelerated, fraudulent activities have increased as well, creating new threats to technological progress.

But at the same time, the manufacturers and market players are improving security mechanisms.

All these factors are favoring the implementation of digital opportunities, such as cryptocurrency ATMs. The growing market activities and innovative strategies crafted by the market players are expanding the market.

About Akshita Pacholi

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