January 18th, 2018
A bitcoin ATM is an Internet enabled machine that allows users to exchange bitcoins and cash. Unlike traditional ATMs, a bitcoin ATM allows bi-directional functionality. Bi-directional functionality means that a user can insert cash inside the ATM and get bitcoins or use the machine to exchange bitcoins for cash.
Bitcoin ATM machines may resemble a traditional auto teller machine, but they are very unique in how they work. The following are some of these unique features:
Buying bitcoins at an ATM is Generally Easy
Buying bitcoins at a bitcoin ATM machine follows the same procedure wherever you go. There may be slight differences in how different machines work, but it’s never a complicated process. Generally, most machines ask you to verify your details by accepting an SMS code sent to your mobile device. You then provide a bitcoin address, insert cash notes and confirm the operation. The bitcoins are sent to your bitcoin wallet or a public address is sent to your email address immediately.
How bitcoin ATMs Work
In some way, a bitcoin ATM is a more expensive version of the auto teller machine. It’s the same vending machine with extra features and more complex software. The first bitcoin ATM was used on October 29, 2013, in Vancouver Canada. The ATM belonged to Robocoin, a company that would later cease its operations in 2016. The first bitcoin ATM in the USA was located in Albuquerque, New Mexico.
Over the years, the manufacture of bitcoin ATMs increased. The pioneering machines only facilitated the exchange of bitcoins and no other digital currencies. Some only accepted the purchase of bitcoins but not the selling process. New bitcoin ATMs that accepted a variety of cryptocurrencies joined the market in 2014 and 2015.
Popular bitcoin ATM Machines
There are more than 1000 bitcoin ATM machines around the world. Here several bitcoin ATMs and how they work:
How to use a bitcoin ATM Machine (Step by Step)
Watch this video for a clearer understanding of how the complete process works.
With a modern bitcoin ATM machine, buying bitcoins is quick and easy. Most modern bitcoin ATMs have a standard size, high definition screens. They are easy to follow through and you could buy bitcoins in less than five minutes. Unfortunately, new technologies meant to replace bitcoin ATM machines are being invented every year. Soon, you could buy bitcoins as an option in the traditional ATM machines owned by banks.