Blockchain & Crypto

Hundreds of Bitcoin ATMs Go Off the Grid in 60 Days

In January 2023, the global Bitcoin ATM network declined by 289 machines, with the number of crypto ATMs further cut down in February by 123 machines

Hundreds of Bitcoin ATMs Go Off the Grid in 60 Days

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As reported by Cointelegraph, the number of Bitcoin ATMs worldwide was reduced by 412 machines within the last two months.

Between 2014 and early 2022, the global network of crypto ATMs was steadily growing. At the peak of the crypto market growth, more than 1000 crypto and Bitcoin ATMs were installed every month. However, September 2022 witnessed the first-ever net decline in the crypto cash-out machines.

The beginning of 2023 marked a new low, recording a decline in total crypto ATM installations for two consecutive months. Besides that, the global crypto ATM network shed 289 machines in January, and another 123 in February.

Currently, the global number of crypto ATMs exceeds 38,000. While the overwhelming majority of Bitcoin machines are located in the US (32970), emerging economies where crypto could boost financial inclusion often have less than 10 crypto ATM locations.

The reasons for the decline included global geopolitical tensions, bear market-related revenue losses and service providers’ search for cheaper operation alternatives.

For instance, crypto ATM provider Bitcoin Depot has recently converted its 7,000 physical ATM machines to BitAccess software. It helped reduce annual operational costs related to software licensing fees, which reach about $3 million.

The decline happened despite separate efforts to sustain crypto ATM services. Thus, the UK introduced British Pound Tether (GBPT) stablecoin as a withdrawing option at over 18,000 BitcoinPoint ATMs nationwide.

Nina Bobro

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Nina is passionate about financial technologies and environmental issues, reporting on the industry news and the most exciting projects that build their offerings around the intersection of fintech and sustainability.