BTC ATMs pop out in every city, making it a bitcoin hotspot. Usually, bitcoin ATMs are set up in public places and go to places like restaurants, malls, and even in front of MNCs stores. People new to this marketplace often wonder why bitcoin ATMs exist. They can purchase a bitcoin easily using a cryptocurrency exchange and even transfer the purchased BTC quickly through a bitcoin wallet. One of the reasons why we use bitcoin as it can be used anywhere, for example, a pet store in Singapore accepts cryptocurrency as payment , including bitcoin.
Bitcoin ATMs are not in the same league as cryptocurrency exchanges; to purchase a bitcoin from a bitcoin ATM, you must go through some process at a cryptocurrency exchange. However, there are reasons to use a bitcoin ATM.
What is Bitcoin ATM?
Bitcoin is an electronic currency, meaning it has no physical form. You can only hold the electronic form of it to make transactions like buying a good or investing in stocks. However, most know what bitcoin is and how to use it.
The main aim of using an ATM to purchase bitcoins is to make it much easier for people to get started with bitcoins, and also, an ATM is much faster than cryptocurrency exchanges. Bitcoin ATMs are ‘cash machines’ that allow users to buy cryptocurrency online in exchange for cash. These ATMs can be used by ordinary consumers, merchants who want to accept payments via cryptocurrencies, or anyone looking to sell their cryptocurrency holdings.
Reasons to Use Bitcoin ATMs:
-Trading Volume
Bitcoin ATM allows more trading volume compared to a cryptocurrency exchange. On average, each bitcoin ATM can process about 20000 transactions daily, which is more than twice the average daily trading volume of cryptocurrency exchanges. In addition, it also helps them get the most from their bitcoin investment as they can sell their Bitcoins at any time they want without worrying about market price fluctuations.
-Accessibility
You need to provide personal information and validate your identity when buying bitcoins on an exchange like Bitcoin or Lite coin. Cryptocurrency exchanges usually operate in a different jurisdiction of the country, which adds to the difficulty of withdrawing funds. Bitcoin ATMs are accessible and operate in places like any existing ATM, including supermarkets, cafes, restaurants, bazaars, and various other places where people can buy things or cash their money. You do not need to provide any information or download any app at these ATMs as they work like regular ATMs.
-Faster Transaction
There are no fees at Bitcoin ATM when making a purchase or withdrawing cash from the ATM. BTC ATMs are available worldwide and monitored and maintained by a third party. Some Bitcoin ATMs even have biometric scanners that let you scan your fingerprint when using your card to initiate transactions.
-Stability
As with regular ATMs, you can convert your cryptocurrency into cash anytime from a Bitcoin ATM, just like using fiat money or cash. You do not need to sell your coins if you don’t want to, which is a significant advantage of using a Bitcoin ATM over cryptocurrency exchanges. In addition, there are no limits on the number of bitcoins that one can buy from bitcoin vending machines to make trading easier for crypto enthusiasts.
-Security
Bitcoin ATMs are easy to access and provide easy-to-use services, making them popular among bitcoin holders. This trend is set to continue as the popularity of cryptocurrency increases globally, and more people start using them.
It-Easy to buy bitcoins
Using a Bitcoin ATM has many advantages over buying from a cryptocurrency exchange and some shortcomings, but at the end of the day, it all comes down to convenience and ease of use. With so many benefits, it is no wonder that most crypto enthusiasts prefer Bitcoin ATMs for transactions.
– No KYC
The only requirement to use a bitcoin ATM is that the user is over 18 and has a valid ID. No personal details are required, unlike an exchange where you must provide your name, address, phone number, and sometimes your SSN.
Buying or selling bitcoins at an ATM comes with zero fees compared to exchanges, where you can find transaction fees as high as 5%. In addition, because blockchain transactions are decentralized, there is no way for anyone to find out who sent money without an actual address and information linked to that address.
Conclusion
A cryptocurrency ATM may not be the best option for beginners, but it is a good choice as soon as you learn about Crypto. Instead of waiting days to get your account verified on an exchange, you can easily use bitcoin ATMs without any hassles. Using a Bitcoin or a Lite coin ATM allows you to buy the currencies with cash that gets transferred directly into your digital wallet.