Bitcoin ATMs Surge 6% Globally as Crypto Adoption Grows

VANCOUVER, Canada — The number of Bitcoin ATMs worldwide has surged by 6% in 2024, marking a significant milestone in the mainstream adoption of cryptocurrencies. These machines, which allow users to buy and sell digital assets like Bitcoin (BTC) and Ethereum (ETH) using cash or bank cards, have become increasingly accessible, with over 38,768 units now operating across more than 70 countries.

The first Bitcoin ATM was installed in Vancouver, Canada, in 2013, revolutionizing how the public interacts with cryptocurrencies. Since then, the global network has expanded rapidly, with the U.S. leading the charge. As of Jan. 13, 2024, the U.S. hosts over 31,500 Bitcoin ATMs, accounting for more than 81% of the global market share, according to data from Coin ATM Radar cited by Finbold.

Europe is also seeing steady growth, adding 116 new machines in 2024, a 7.5% increase from the previous year. This growth is notable, as many regions experienced declines during the so-called “crypto winter” of 2023. Most of the global expansion occurred in the first half of 2024, with 1,942 new machines installed worldwide by late April. However, growth slowed in the second half, averaging just 34 new machines per month from May to December.

Bitcoin ATMs operate similarly to traditional ATMs but are tailored for cryptocurrencies. Users can deposit cash to purchase Bitcoin or other tokens, and some machines even allow selling crypto for cash. However, fees for these transactions are often higher than those for online exchanges.

Regulations surrounding Bitcoin ATMs vary by region. In the U.S., operators must register as money services businesses and comply with anti-money laundering (AML) and know-your-customer (KYC) regulations. Internationally, oversight is tightening, with the U.K.’s Financial Conduct Authority cracking down on unlicensed operators. In September 2024, London-based Olumide Osunkoya became the first person in the U.K. to be convicted for running an illegal network of crypto ATMs.

Despite their convenience, Bitcoin ATMs have raised concerns among regulators. The Federal Trade Commission (FTC) reported a tenfold increase in consumer losses from Bitcoin ATM scams since 2020, with losses exceeding $110 million in 2023. In the first half of 2024 alone, fraud losses linked to Bitcoin ATMs topped $65 million, with older adults particularly vulnerable.

As the crypto market continues to evolve, Bitcoin ATMs are playing a pivotal role in bridging the gap between traditional finance and digital assets. However, their rapid growth also underscores the need for robust regulatory frameworks to protect consumers and prevent illicit activities.