The Decline of Crypto ATMs in 2023
This year has seen a significant decrease in the number of crypto automated teller machines (ATMs), marking the first annual reduction since their introduction in 2013. According to data from coinatmradar.com, the total count of crypto ATMs has dropped from 39,350 in December 2022 to the present number of 33,620, a decrease of approximately 14.56%. This decline has led to the decommissioning of 5,730 machines.
The Continuous Removal and Installation of Machines
The removal of crypto ATMs has been a consistent trend throughout the year. In January, 1,523 devices were eliminated, followed by 210 machines in February, 3,555 ATMs in March, and 340 machines in April. However, May and June saw a reversal of this trend, with 1,711 machines being installed in May and 857 more in June.
July was the most severe month for withdrawals, with an estimated 4,218 machines being decommissioned, resulting in the largest monthly decline on record. Although subsequent months witnessed net additions, they were not enough to offset the earlier losses.
Leading Crypto ATM Operators and Global Figures
Bitcoin Depot is currently the top crypto ATM operator, with 6,311 machines, followed by Coinflip with 3,880 devices. Bitstop operates 2,854 machines, Rockitcoin oversees 2,227 units, and Athena Bitcoin operates 1,891 crypto ATMs. The majority of these machines, approximately 82.2%, are located in the United States, while Canada hosts 8.4% of the total count. Europe and Australia account for 4.6% and 2.3% of the machines, respectively.
Possible Reasons for the Decline
The exact reasons behind the decline in crypto ATMs remain unclear. It is possible that the turbulent cryptocurrency market in 2022 negatively impacted the businesses operating these machines. However, it is also possible that there is a declining interest in crypto ATMs. As both operators and consumers adjust to this changing landscape, the future of crypto ATMs, like the market itself, is uncertain and worth observing.
Hot Take: Future of Crypto ATMs
The decline in crypto ATMs in 2023 raises questions about their future. While it is unclear whether this decrease is due to market conditions or changing consumer preferences, it is evident that crypto ATMs are facing challenges. As the cryptocurrency market continues to evolve, it remains to be seen whether these machines will adapt and thrive or become obsolete. Only time will tell what lies ahead for crypto ATMs and how they will fit into the broader crypto ecosystem.
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