Bitcoin ATMs See 6% Growth in 2024 Amid Renewed Interest in Cryptocurrencies

Bitcoin ATMs are popping up around the world, with their numbers jumping 6% in 2024, showing how cryptocurrencies are becoming more mainstream.

number Bitcoin ATM It continues to grow, making it easier for people to buy and sell cryptocurrencies. Recent reports show that this trend continues. Just like regular ATMs, Bitcoin ATMs allow you to add cash to your cryptocurrency wallet, so the process is quick and simple.

So, what exactly are Bitcoin ATMs? These machines work like regular ATMs but are designed for cryptocurrencies. Bitcoin (Bitcoin) And sometimes other tokens can be purchased using cash or bank card. Some machines even allow selling cryptocurrencies for cash, although the fees are usually higher than the purchase fees.

The first Bitcoin ATM appeared in Vancouver, Canada, in 2013. It was a big moment to make cryptocurrencies more accessible to the public. Since then, Bitcoin ATMs have grown rapidly, with more than 37,500 machines in more than 70 countries. According to another research By Finbold, who cites data from Coin ATM Radar, 2024 was a breakout year, with a 6% increase in the number of Bitcoin ATMs.

Bitcoin ATMs mainly landed in the United States

The United States remains the leader in Bitcoin ATMs, with more than 81% of the global market share. As of January 13, there were more than 31,500 bitcoin ATMs in the United States, which is 1,000 more than at the start of 2024. The global total stood at 38,768, rebounding from a decline in mid-2023 when the number fell to about 33,000.

Europe has a smaller but growing presence in the Bitcoin ATM market. Although not as large as the United States, the number of ATMs in Europe has been steadily rising, even during periods of cryptocurrency decline, the report states. In 2024, the region added 116 new devices, an increase of 7.5% from 2023. The report notes that this steady growth is unique, as many other regions saw declines during the cryptocurrency winter.

Most of the ATM growth in 2024 occurred in the first half of the year. By late April, 1,942 new machines had been installed globally, with an average of 485 machines per month between January and April. However, growth slowed in the second half, with only 34 machines added per month between May and December. The slowdown came even though Bitcoin reached all-time highs in November when its price approached $100,000.

Various organizational methods

In most places, Bitcoin ATMs are legal, although regulations vary. For example, in the United States, it is regulated by the Financial Crimes Enforcement Network. Operators must register as financial services companies and follow AML and KYC rules for larger transactions. At the state level, operators often need a money transfer license and must follow consumer protection laws such as fee transparency and data security. Local zoning laws can also affect how cryptocurrency ATMs operate.

Internationally, regulations regarding cryptocurrency ATMs vary from country to country, with the UK Financial Conduct Authority working to strengthen its oversight. In September 2024, crypto.news I mentioned London-based Olumide Osunkoya pleaded guilty to five offenses for running an illegal network of cryptocurrency ATMs across the UK, the first conviction of its kind in the country.

Earlier that year, in August, German authorities announced confiscation 13 cryptocurrency ATMs and seized nearly $28 million in cash from 35 locations across the country. The operation, led by the Federal Financial Supervision Authority, targeted machines operating without proper licences, raising concerns about money laundering.

Bitcoin ATM scams are on the rise, with seniors being the most affected

While most Bitcoin ATMs are operated by legitimate companies, regulators are concerned that they could be used for fraud or money laundering. new Data From the Federal Trade Commission shows a significant rise in the amount of money consumers reported losing to scams involving Bitcoin ATMs. Since 2020, reported losses have increased almost tenfold, reaching more than $110 million in 2023.

The FTC also found that fraud losses linked to bitcoin ATMs exceeded $65 million in the first half of 2024. People ages 60 and older were more likely to lose money to bitcoin ATM scams than younger adults. Age. Across all age groups, the average loss was $10,000. Most of the scams involve government impersonation, business impersonation and technical support scams, the FTC said.