Bitcoin Depot the Leader in Exploding Crypto ATM Market
The cryptocurrency ATM market is in the midst of a major boom, and it’s showing no signs of slowing down, with experts forecasting an annual compound growth rate of 46.61 percent by 2024. This massive growth is evidenced with a 2014 report by Coin ATM Radar predicting approximately 2,900 Bitcoin ATMs to be installed worldwide by 2020[1], with the figure being reached two and a half years early in mid-2017.
So what - or who - is fueling this huge Bitcoin ATM boom?
Leading crypto-ATM operator, and the player at the center of this unprecedented expansion, Bitcoin Depot and their CEO, Brandon Mintz, believe it’s being fueled by the underbanked and their willingness to adopt new pathways to banking. The underbanked make up eight percent of America’s estimated 115 million households, and include those who don’t have access to banking services, like checking accounts, savings, lines of credit and other banking-related functions.
“The underbanked are those who, for one reason or another, don’t trust traditional banking methods or institutions,” says Mintz. “Blockchain-based currencies were developed to combine decentralized control and user-anonymity with rigorous record keeping, and it’s these elements that are attracting a considerable amounts of cryptocurrency adopters. In fact, demand is so high we’re constantly - and rapidly - increasing our installation rate of new crypto-ATMs.”
To keep up with demand, Bitcoin Depot recently announced plans to increase their fleet of crypto-ATMs from approximately 300 to 1,000 by the end of 2020. It’s through this widespread, rapid expansion that the company aims to solidify its reputation as the leading Bitcoin ATM operator in the world.
Is this feat too ambitious? Not necessarily, with Mintz stating, “As Bitcoin Depot ATMs become more widespread, cryptocurrencies become less intimidating and more attractive. Through our expansion, we’re helping to demystify blockchain-based currencies by providing physical and familiar touchpoints for users to store, access and send their money anywhere in the world. We’ve already seen the beginning of the symbiotic relationship that crypto-ATMs have with new adopters. Essentially, we’re very confident the rate of adoption will continue to evolve in tandem with our rate of expansion.”
Bitcoin Depot’s continued growth was evidenced earlier this year when they acquired competitor, DFW Bitcoin, in a first of its kind acquisition between crypto-ATM operators. The acquisition saw Bitcoin Depot acquire ten DFW Bitcoin crypto-ATMs across Texas.
What makes Bitcoin Depot a front-runner for the top spot in the booming Bitcoin ATM market? Mintz believes it’s a combination of availability, low-costs and the removal of banking barriers for the underbanked, stating: “One of the major barriers to cryptocurrency adoption was the sign-up process. Previously, and as is the case with some other crypto-ATM operators, signing up for a Bitcoin wallet to purchase and store cryptocurrencies is a lengthy process, requiring multi-step verification and a long wait time.”
With Bitcoin Depot ATMs, users can sign up on the spot and start trading immediately, and the cryptocurrency options don’t just stop at Bitcoin, either. Bitcoin Depot ATMs enable users to purchase, use, and sell other blockchain-based currencies, including Litecoin, Ethereum and Bitcoin Cash.
This range of cryptocurrencies offered is also something Mintz believes sets Bitcoin Depot apart from the competition, stating, “There are over 1600 types of cryptocurrency in circulation, and most of our competitors only operate in one or two options, while Bitcoin Depot ATMs offer four. We plan to continue adding more blockchain-based currency options as new types gain momentum and popularity.”
Mintz continues, “We also plan to continue forging pathways and simplifying access to cryptocurrencies - enabling the underbanked to transfer money, and purchase and invest in blockchain-based currencies.”
