Crypto ATM Market

Global Crypto ATM Market Size (2024 to 2032)

The global crypto ATM market is predicted to reach USD 152.10 billion in 2024 and USD 4,912.56 billion by 2032, growing at a CAGR of 54.4% during the forecast period.

Current Scenario of the Global Crypto ATM Market

Cryptocurrency is the alternate form of payment to cash, credit cards, and checks. In cryptocurrency, the customer directly sends money without interaction with the bank. Crypto ATM is a kind of ATM through which individuals can transfer cryptocurrency easily through an ATM machine. To purchase cryptocurrency through a crypto ATM, the crypto user must go through the KYC process, input the crypto wallet address to make a deposit, insert the order money through the crypto ATM, and finally confirm the transaction. Also, the crypto ATM auto-generates receipts for every transaction. These receipts contain public and private keys in the form of QR codes for security purposes. These ATMs provide easier options for customers and users to not set up an account or online wallet or deal with lengthy public keys. Additionally, the growing demand for cryptocurrencies and surge in the number of crypto adopters encourages a shift in investment patterns that is mostly driven by the younger population, therefore fueling the growth of the Crypto ATM Market in the coming years.

MARKET DRIVERS

The driving force of the Crypto ATM Market is the rising number of crypto ATs being installed worldwide.

Crypto ATMs are being installed in various countries around the globe as businesses are putting significant focus on meeting the changing needs of their customers. According to statistics provided by Coinsource, in January 2021, there were about 14,012 crypto ATMs worldwide. Additionally, the efforts being pursued by various governments to deploy cryptocurrency are also driving the growth of the market. For example, in September, the EI Salvador government installed over 200 crypto ATMs after accepting Crypto ATMs as legal tender. In Addition, the government has entered into a partnership with Chivo to expand the crypto ATM network and usage of Bitcoin wallets in the country.

Additionally, the growing penetration of smartphones across the globe is fueling the growth of the crypto ATM market, as smartphones allow cryptocurrency users to leverage the capabilities of crypto ATMs seamlessly. According to the Coin Dance (a cryptocurrency information provider) statistics,  in March 2021, almost 34.45% of people globally used smartphones to buy and sell bitcoin, and 3.03% and 62.53% of the people used tablets and desktops, respectively, to research and exchange bitcoin.

Furthermore, crypto ATM providers are putting a strong emphasis on minimizing the threat posed by potential cyberattacks to crypto ATMs, creating new opportunities for market growth in the coming years. Facial recognition, biometric features, QR codes, and time stamp features are being incorporated in crypto ATMs to help verify the identity of the user and enhance security. Additionally, Crypto ATM service providers are equally ensuring strong compliance with KYC and anti-money laundering requirements. Owing to the above reasons, the use of the crypto ATM is increasing, which is further increasing the growth of the crypto ATM market during the forecast period.

MARKET RESTRAINTS

The uncertain regulatory status of cryptocurrencies and the lack of awareness and technical understanding regarding cryptocurrencies are the factors that are restraining the growth of the crypto ATM market.

MARKET OPPORTUNITIES 

The future of crypto ATMs appears bright with consistent growth and adoption anticipated during the forecast period. As a great number of individuals are now aware of the advantages of digital currencies, the need for secure and easy access points such as Bitcoin ATMs will only surge. The growth of crypto ATMs gives various advantages to both newcomers and seasoned cryptocurrency enthusiasts including convenience, accessibility, security and privacy. These ATMs are tactically suitable in high-traffic areas like gas stations, convenience stores and shopping malls. This facilitates customers to easily locate and use a machine anytime they require to conduct a transaction. Also, in contrast to digital exchangers, which need customers to navigate complicated registration and verification procedures, crypto ATMs provide a simplified user interface. Transactions can be finished in a few minutes, positioning as an appropriate choice for those who favour a swift and hassle-free procedure. Additionally, North America is expected to witness significant market growth in the coming years owing to prominent tech giant's higher inclination towards it.

MARKET CHALLENGES

The decline in the speed of installations and the removal of ATMs are some of the major challenges for the market expansion. This has considerably decreased its growth rate. For instance, in February 2023, there was a net decline of 1061 Bitcoin ATMs. Moreover, according to a study, 2023 experienced consistent removal of these ATM machines throughout the initial four months with no rise. January witnessed the elimination of around 1523 systems, followed by February with 210 devices being terminated, and a substantial 3555 ATMs were removed in March. In June and the first week of July 2024 i.e. 40 days saw the decrease of 334 machines in the crypto ATM network worldwide, with the majority of considerable reductions in the US and Europe. Furthermore, the growth of the market is hindered by the absence of regulatory clarity. Despite being one of the easier than certain other alternatives, this continues to be a serious restraint. For instance, in 2023, the United Kingdom’s Financial Conduct Authority took major action against the unregistered Crypto ATMs.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Crypto ATM Market Analysis By Type

Based on Type, the Global Crypto ATM Market is segmented into One Way, Two Way. Two-way segments are expected to dominate the global crypto ATM market during the forecast period due to their multifunctional features. In a two-way crypto ATM, a user can buy cryptocurrencies and also sell them using a single machine. These types of crypto ATMs are majorly installed in North America. They are used by cryptocurrency investors significantly; therefore, the market for two-way crypto ATMs is expected to boom in the coming years.

Global Crypto ATM Market Analysis By ATM Hardware

Based on ATM Hardware, the Global Crypto ATM Market is segmented into Displays, ATM Printers, QR Scanners, and Others. ATM Printers are expected to grow at the highest CAGR during the forecast period due to their functionality of providing public and private keys on printed receipts. It is an output component that dispenses receipts as per the application. It is significantly used for printing QR codes. It generates a receipt for every transaction containing public and private keys in the form of QR codes.

Global Crypto ATM Market Analysis By Coin Type

Based on Coin Type, the Global Crypto ATM Market is segmented into Bitcoin, Dogecoin, Ethereum, and Litecoin. The Bitcoin segment is dominating the market due to the growing acceptance of Bitcoin as a payment method worldwide. Moreover, several financial service providers are aggressively trying to include bitcoin services in their respective service portfolios to boost the growth of the market. However, due to increasing demand for Litecoin crypto ATMs around the world, the Litecoin category is likely to rise significantly over the forecast period.

REGIONAL ANALYSIS 

North America is expected to dominate the Crypto ATM Market due to the high adoption of technology in this region. In North America, a large number of crypto ATMs have been installed, particularly two-way crypto ATMs. Additionally, the presence of a large number of key players who are investing in the research and development of crypto ATMs and bringing new solutions into the market fuels the growth of the crypto ATM market. The start-ups for crypto ATMs are also bolstering the growth of the market as investors are keen to invest in these startups. For instance, LibertyX, which is a U.S.-based start-up, has generated billions of dollars of investment and will bring new solutions into the market. Therefore, the U.S has a large number of ATM hardware and software service providers and a favorable investment environment that will boost the growth of the market in the near future. Additionally, the government of Mexico has declared Bitcoin legal, and Canada has recorded extensive start-up activity, particularly in cryptocurrency. Owing to the above reasons, the growth of crypto ATMs will be boosted in the forecast period.

In the Asia-Pacific region, there will be huge opportunities for crypto ATMs if the legal barriers are removed. The population of this region is willing to trade on cryptocurrency. Still, due to governmental regulation and legal norms, crypto has not yet been legalized in several countries in this region. However, it is expected that if barriers are removed, the Asia-Pacific region for crypto ATMs will grow with a significant CAGR in the coming years.

Europe Crypto ATM shows a stable growth rate during the forecast period. The European crypto ATM market stagnates, and there are few new installations, highly likely due to AMLD5 regulation. The Europe market is dominated by General Bytes, with Lamassu being second with a large gap. In this region, the majority of machines allow selling cryptocurrency for cash. Additionally, top operators in Europe control a larger share of the market after the U.S., and the fees charged by these operators are lower in Europe than in the U.S.

KEY MARKET PARTICIPANTS IN THE GLOBAL CRYPTO ATM MARKET

Some of the leading companies operating in the Global Crypto ATM Market include

• GENERAL BYTES (Czech Republic)
• Genesis Coin (US)
• Lamassu (UK)
• COVAULT (US)
• Bitaccess (Canada)
• Coinme (US)
• Coinsource (US)
• Bitxatm (German)
• Orderbob (Austria)
• RUSbit (Russia)

RECENT MARKET DEVELOPMENTS IN THE GLOBAL CRYPTO ATM MARKET

• In August 2024, Coinflip formally introduced its online currency kiosks in Mexico, which are called automated teller machines (ATMs). This makes the company’s second expansion in the North America.

DETAILED SEGMENTATION OF THE GLOBAL CRYPTO ATM MARKET INCLUDED IN THIS REPORT

This research report on the global crypto ATM market has been segmented and sub-segmented based on the type, ATM hardware, coin type, and region.

By Type

• One Way
• Two Way

By ATM Hardware

• Display
• ATM Printer
• QR Scanner,
• Others

By Coin Type

• Bitcoin
• Dogecoin
• Ethereum
• Litecoin

By Region

• North America
• Europe
• Asia-Pacific
• Middle East and Africa