Numerous Individuals Are Starting To See Bitcoin ATMs In Their Area

Anyone who has ever seen an ATM that appeared a little bit odd was mostly likely looking at a cryptocurrency ATM. This type of ATM is fairly new, and provides customers with the ability to use credit cards or cash to purchase cryptocurrency. The reason this is different than a typical ATM is because currency can be exchanged anonymously for different types of cryptocurrency such as Bitcoin. According to the most recent statistics, there are now 3423 cryptocurrency ATM’s across the globe. In 2018, an additional 1,301 were added. The cryptocurrency ATM’s are currently located within 71 different countries with the majority found throughout North America.

Instructions for purchasing or withdrawing cryptocurrency are included on every cryptocurrency machine to make the process fast and easy. The most important requirement for purchasing cryptocurrency using an ATM is either a virtual or a paper wallet. This is necessary for proper storage of the cryptocurrency. One of the best options for the first ATM deposit is using an app for a smartphone. Once the deposit has been made, the funds are easy to move to either a wallet or cold storage. The transaction begins when the amount of cryptocurrency the individuals wants to purchase is selected on the interface of the ATM.

The next step is entering the address of the wallet. Input errors can be reduced with the use of the QR code scanner located on the ATM. The amount due can be paid using either a credit or debit card or cash. The purchase will then be confirmed. Once the blockchain has confirmed the transaction, the cryptocurrency is sent to the address provided. If the purchase is large, a telephone number and ID documentation may be required for security. The majority of cryptocurrency ATM’s enable the purchase of Bitcoin. Some machines offer a wider variety and provide support for cryptocurrencies such as (XMR) Monero and (ETH) Ethereum.

Although most cryptocurrency ATMs support only purchases, some will enable the individual to sell their cryptocurrency by using the ATM. This is referred to as a two-way ATM as opposed to the more standard one-way ATM.

The CEO of one of the most prominent bitcoin ATM companies is Daniel Polotsky. The company is called CoinFlip, and offers cash trades for six different types of cryptocurrency. The company purchases and sells Litecoin, Bitcoin, Dash, Komoda, Ethereum and Tron through their ATM’s. CoinFlip has nearly 120 ATM’s located in the United States. For those not living close to a terminal, wire transfers are accepted for card purchases. CoinFlip does not require the individual to have a bank account or wait months for an approval. The company usually grants approvals within five minutes, always answers their phone and offers the lowest ATM rates for Bitcoin.

According to Daniel Polotsky, the three biggest issues regarding their cryptocurrency ATM’s are remaining current with the consistently changing regulatory landscape, ensuring even ATM’s located in remote areas are operational a minimum of 95 percent of the time and making certain their cash flow is sufficient for the support of every ATM. CoinFlip is a regulated MSB under FinCEN. They have received the clearances to conduct business in every state they have operations in through either legal opinion or regulatory approval. Daniel Polotsky’s team primarily consists of individuals he knew prior to serving CoinFlip.