A known news site has released a report, according to which, the number of Bitcoin ATMs across the world have increased and have gone over 4,000 and the count is still increasing.
The rise in the number of Bitcoin ATMs is occurring during the times when cryptocurrency businesses are adopting regulations and compliance, and are following strict Know Your Customer (KYC) and Anti-Money Laundering (AML) policies., of the respective governments.
The US government has sent S18 subpoena requests to ShapeShift. ShapeShift is crypto exchange company based in Switzerland. The number is comparatively higher considering the fact that ShapeShift is a non-U.S. company.
As compared to Kraken, ShapeShift has received a lesser number of requests. The US government has sent 315 subpoena requests to Kraken (which is a major crypto assets trading platform) in 2018. Of all the subpoena filed by the US, 66% are for Kraken. Kraken’s 80% of the users are ‘non-U.S’ residents.
The increasing numbers of Bitcoin ATMs and its increasing popularity is also due to the efforts made by the G20’ countries to keep an eye on the cryptocurrency sector with tightened set of rules and system.
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Most major global cryptocurrency markets like Japan have adopted new regulatory policies related to the cryptocurrency and its dealings. They have accepted the set of rules monitoring the transactions, user surveillance, and fraud prevention for a couple of years.
However, Bitcoin ATMs allow buyers and sellers to deal in cryptocurrencies at a minimum cost and lesser KYC and identification needs; and hence, creating an alternative to the strictly regulated cryptocurrency exchanges demonstrating how bitcoin ATM works.
However, this has a downside too; especially in the case of regular and experienced users. The charges for undertaking a Bitcoin ATM transaction are most of the times percentage-based. This can lead to higher fees as compared to cryptocurrency exchanges.
Most Bitcoin ATMs additionally have low day by day transaction restrictions for purchasers and sellers, prohibiting people from dealing in a large volume of Bitcoin to stop the utilization of ATMs in illegal money laundering.
While talking to the news site, Straight Up Capital executive said that Bitcoin could possibly turn into a key player of the e-commerce market, which may add to the expanding interest for Bitcoin ATMs.
He said that E-commerce is ending and cryptocurrency is the new thing. Organizations like Overstock.com are just doing Bitcoin trades, and other companies like Amazon and Facebook know the war is coming.
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Bitcoin is just the beginning of numerous brands that will offer similar services. It won’t be long until everybody has a Bitcoin option on their cell phones, he said. In countries like Japan and regions like Europe, the use of Bitcoin ATMs has reduced in these last couple of years.
Critical factors which influence the long term success of Bitcoin ATMs are to bring down the transaction charges at the ATM and to provide reasonable conversion rates. However, because of high costs, it is not yet clear whether these issues can be tended to in the months to come.
