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Crypto ATM Market Size
Crypto ATM Market size exceeded USD 250 million in 2021 and is projected to expand at over 50% CAGR from 2022 to 2028.
A crypto ATM is a terminal that allows buying or selling of currencies such as Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and others with the help of bank cards, payment gateways, and cash. In this process, ATMs/kiosks relate to the crypto network and allow consumers to buy crypto tokens by depositing cash. Every transaction is automatically documented by a receipt produced by the crypto ATM. A crypto ATM may ask to scan a government ID proof or can ask the mobile number to send a text verification code before completing the transaction.
The market is witnessing a rise in public awareness about cryptocurrencies, supporting the usage of crypto ATMs from individual bitcoin miners to investors. Cryptocurrency transaction platforms are being offered by digital payment service providers, encouraging market players to design robust products. For instance, in March 2021, PayPal Holdings, Inc. introduced Checkout with Crypto, a new service that significantly improves cryptocurrency usage. Checkout with Crypto allows users to check out safely and easily by converting existing cryptocurrency assets to cash at checkout with the assurance of value and no extra transaction fees. This, in turn, is acting as a growth inducer and helping the crypto ATM market grow at a substantial rate as various financial service providers are including bitcoin services in their portfolios.
| Report Attributes | Details |
|---|---|
| Base Year: | 2021 |
| Market Size in 2021: | USD 250 million |
| Forecast Period: | 2022 to 2028 |
| Forecast Period 2022 to 2028 CAGR: | 50% |
| 2028 Value Projection: | USD 4.5 billion |
| Historical Data for: | 2018 to 2021 |
| No. of Pages: | 250 |
| Tables, Charts & Figures: | 295 |
| Segments covered: | Component, Coin Type, Type, and Region |
| Growth Drivers: |
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| Pitfalls & Challenges: |
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The COVID-19 pandemic had a moderate impact on the crypto ATM industry in FY2020. The market experienced a slight downfall in 2020 as the pandemic led various governments to enforce stringent containment measures, region-wide lockdowns, large-scale movement restrictions, social distancing, and a quarantine period, however, witnessed a rise in the first quarter of 2021 as crypto ATMs enabled customers to transfer and receive cryptocurrencies online without any physical contact. Crypto ATM manufacturers are increasingly creating a safer environment for cash-to-cryptocurrency, which will drive the industry demand in FY 2022.
Crypto ATM Market Analysis
The German crypto ATM market will grow at a CAGR of 55% during the forecast timeframe, owing to the tax benefits offered by government administrations on cryptocurrency transactions. According to the German Federal Central Tax Office, cryptocurrencies are tax-free if the total profit from private sales transactions in a calendar year is less than USD 709.2 and sales of cryptocurrencies held for more than a year are tax-exempt.
Such initiatives increase the market share of crypto ATM scanners that help consumers set up their wallets and locate the wallet address for inbound transactions. This is usually done automatically by the crypto ATMs that scan the QR code on the smartphone screen rather than typing it in manually, which can lead to mistakes and cause fund loss.
Bitcoin ATMs enable consumers to buy and exchange cryptocurrencies with cash. These ATMs are gaining popularity as they are tamper-proof, ensure ultimate financial confidentiality and provide an instant way to buy or sell cryptocurrencies. Bitcoin ATMs ensure supreme security as users are not required to affix their personal information. Cryptocurrency can only be transferred if the user shares the correct security credentials and passwords. These ATMs are fortified with technology that ensures protection against software and hardware malfunction.
As of December 2021, around 34,000 Bitcoin ATMs are in operation globally. ATMs are increasingly acknowledging the increasing popularity and acceptance of bitcoins. For instance, in April 2022, Bitcoin of America added the cryptocurrency Shiba Inu to all of their Bitcoin ATMs. Similarly, CoinHere has around 35 prime Bitcoin ATM locations in Asia.
The demand for two-way crypto ATMs in the U.S. market will register more than 50% growth rate through 2028, led by the provision of both buying and selling functions. The machine offers various features, such as high security and multicurrency support, that increase the sale of cryptocurrencies at premium prices with additional security. The country is witnessing a surge in the adoption of two-way crypto ATMs as they offer a user-friendly interface that directs the user in each step of the processing transaction.
The Asia Pacific crypto ATM market accounted for around 10% of the global revenue share in 2021, owing to the rising access to trade finance. Various countries including India and South Korea are investing in startups to accelerate the market expansion of cryptocurrency exchanges. These firms are receiving venture capital financing from various organizations, thus boosting the demand for crypto ATMs.
Crypto ATM Market Share
Key players operating in the market include:
- Bit Base S.L
- Bitaccess Inc
- Bitcoin Depot
- Bitstop
- Byte Federal Inc
- Coin Cloud
- CoinFlip
- Coinme
- Coinsource
- GENERAL BYTES s.r.o
- Genesis Coin Inc
- Lamassu Industries AG
- Localcoin
- National Bitcoin ATM
- Orderbob (ServiceBob)
- RockitCoin.
The market players are focusing on new strategic collaborations to receive funding and gain a competitive edge in the industry. For instance, in January 2022, MoneyGram International, Inc. announced a strategic minority investment in Coinme to improve its capacity and link digital assets to local currencies. With this development, MoneyGram International, Inc. aims to extend its access to digital assets and cryptocurrencies. This will also improve accessibility to bitcoin by establishing various additional point-of-sale sites where people can purchase and sell bitcoin.
The crypto ATM market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2018 to 2028 for the following segments:
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Market, By Component
- Hardware
- Display
- Printer
- Scanner
- Others
- Software
- Services
Market, By Coin Type
- Bitcoin (BTC)
- Litecoin
- Ethereum (ETH)
- Dogecoin
- Others
Market, By Type
- One-way
- Two-way
The above information has been provided for the following regions and countries:
- North America
- U.S.
- Canada
- Europe
- UK
- Germany
- France
- Italy
- Spain
- Netherlands
- Switzerland
- Asia Pacific
- China (inc. Hong Kong)
- India
- Japan
- South Korea
- Australia
- Latin America
- Brazil
- Mexico
- Middle East & Africa
- GCC
- South Africa
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