Over the past year, while Bitcoin’s value has soared to new heights, the number of kiosks offering cryptocurrencies through cash or debit cards has seen a significant decline. According to Coin ATM Radar, the total count of crypto ATMs worldwide has dropped from 37,827 on January 1, 2023, to 33,628 on January 1, 2024, marking a noticeable decrease within just one year.
For the past decade, the number of Bitcoin ATMs had been steadily increasing, with growth seen at the beginning of each year. Coin ATM Radar has been tracking these figures since October 2013, and the all-time high of installed Bitcoin ATMs reached 39,376 in August 2022, representing the growing popularity of cryptocurrency and the acceptance of crypto ATMs as a means of acquiring digital assets. However, 2023 deviated from this historical trend, witnessing a decline in the total number of Bitcoin ATMs by the end of the year.
Among the countries affected by this decline, the United States stands out prominently. Despite being home to 82% of all crypto ATMs globally, the US experienced a substantial drop of 15.4% in its ATM count, falling from 32,672 to 27,631 by the end of 2023. Coin ATM Radar’s data indicates that BitAccess, a prominent crypto ATM manufacturer, may have played a role in this decrease. The company saw a significant decline in net installations, dropping by 26% from 9,160 in August 2022 to 6,774 on January 1, 2024.
In addition to the overall decline in Bitcoin ATMs, 2023 also saw some bizarre cases related to these machines. One such case involved a 51-year-old resident of Jefferson City, Missouri, named Matthew Klinger, who received a five-year supervised probation sentence after admitting to shooting a Bitcoin ATM with a handgun. Klinger claimed his motive was to prevent the machine from taking money from others.
Another notable case involved Lux Vending, operating under the name Bitcoin Depot, initiating legal action against the sheriff’s office of McLennan County, Texas. The lawsuit alleges the unlawful seizure of $15,000 from a Bitcoin automated teller machine (ATM) by authorities. These funds were intended to compensate an elderly victim who had fallen victim to an online crypto scam. However, the situation took a positive turn for Bitcoin Depot when the company went public on the Nasdaq on July 3 and expanded its operations to the 28th US state. Furthermore, the company reported a revenue of $179.5 million in Q3 2023, indicating a 3% year-on-year increase.
While the US experienced a decline, Bitcoin ATM figures continued to grow steadily in Australia, Canada, Spain, and Poland. In these countries, the demand for crypto ATMs seems to be on the rise, despite the global downward trend. Additionally, two major manufacturers, General Bytes and Genesis Coin, expanded the count of Bitcoin ATMs throughout the year, indicating that there is still a market for these machines, albeit with regional variances.
The decline in Bitcoin ATMs worldwide brings to light some interesting shifts in the crypto acquisition landscape. The historical trend of increasing ATMs each year took a detour in 2023, resulting in a decrease in the total count. While the United States experienced a significant drop, other regions such as Australia, Canada, Spain, and Poland saw steady growth. These changes indicate the need for a deeper examination of market demands and preferences when it comes to acquiring cryptocurrencies using ATMs. Despite the overall decline, manufacturers like General Bytes and Genesis Coin continue to play a significant role in expanding the availability of Bitcoin ATMs. As the crypto industry evolves, it will be interesting to see how the future unfolds for the once-thriving Bitcoin ATM market.
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