The world of cryptocurrencies has experienced a boom in recent years, with Bitcoin taking the lead as the most popular digital asset. However, while Bitcoin’s value soared to new heights in 2023, an unexpected trend emerged in the realm of Bitcoin ATMs. Coin ATM Radar, a leading tracker of crypto ATMs, reported a significant decline in the total count of these machines worldwide. From 37,827 ATMs on January 1, 2023, the number dwindled to 33,628 by January 1, 2024, marking a noticeable decrease in just one year.
For a decade, the installation of Bitcoin ATMs had exhibited an annual uptrend, with growth experienced at the beginning of each year. Coin ATM Radar began tracking these figures in October 2013, and the count reached an all-time high of 39,376 in August 2022. This surge highlighted the increasing popularity of cryptocurrency and the acceptance of crypto ATMs as a convenient means of acquiring digital assets. However, the year 2023 deviated from this historical trend, witnessing a decline in the net total of Bitcoin ATMs by the year’s end.
One country that particularly stood out in this decline was the United States. Home to 82% of all crypto ATMs globally, the US experienced a substantial drop of 15.4% in its ATM count throughout 2023. The number fell from 32,672 to 27,631, leaving many to wonder what factors contributed to this decline. Coin ATM Radar’s data suggests that BitAccess, a prominent crypto ATM manufacturer, may have played a role in the decrease. The company witnessed a significant decline of 26% in net installations, dropping from 9,160 in August 2022 to 6,774 by January 1, 2024.
The year 2023 also saw its fair share of bizarre cases related to Bitcoin ATMs. One such instance involved a 51-year-old resident of Jefferson City, Missouri, named Matthew Klinger. Klinger confessed to shooting a Bitcoin ATM with a handgun, claiming his motive was to prevent the machine from taking money from others. This incident served as a reminder of the challenges and controversies that can arise within the crypto world.
Lux Vending, operating under the name Bitcoin Depot, also made headlines when it initiated legal action against the sheriff’s office of McLennan County, Texas. The company alleged the unlawful seizure of $15,000 from a Bitcoin ATM by authorities. The funds were intended to compensate an elderly victim who had fallen prey to an online crypto scam. However, Bitcoin Depot experienced a positive turn of events when it went public on the Nasdaq on July 3 and expanded its operations to the 28th US state. The company’s reported revenue of $179.5 million in Q3 2023 indicated a 3% year-on-year increase, showcasing the potential of the crypto industry.
While the United States experienced a decline, other countries witnessed a different landscape. Bitcoin ATM figures steadily grew in Australia, Canada, Spain, and Poland. This shift indicated a redistribution of crypto ATMs across the globe, with new regions embracing the convenience of these machines.
In the midst of this changing crypto landscape, two major Bitcoin ATM manufacturers, General Bytes and Genesis Coin, continued to expand the count of ATMs throughout the year. Their efforts contributed to the overall increase in Bitcoin ATMs in certain regions, counteracting the global decline.
As the crypto world continues to evolve, the future of Bitcoin ATMs remains uncertain. While the decline in their numbers is noteworthy, it is essential to consider the broader context of the crypto market and its ongoing transformation. New regulations, market dynamics, and technological advancements will undoubtedly shape the role of Bitcoin ATMs in the coming years. Whether their decline will persist or a resurgence will occur is uncertain, but one thing is clear: the world of crypto ATMs is in a state of flux.