A software revolution for crypto ATMs that connects Bitcoin Depot hardware and software eliminates annual software license fees.
Disclaimer: The article has been updated to reflect that Bitcoin Depot has changed the software that powers its Bitcoin ATMs.
Crypto ATM installations have seen a steady decline worldwide over the past few months. Some ATMs have been banned due to geopolitical tensions and currency fluctuations, but providers such as Bitcoin Depot have begun switching to physical Bitcoin management software.
It points down
ATMs improve bottom lines.
Recently, Bitcoin Depot switched the management software of all its crypto ATMs and 7,000 kiosks to computerized BitAccess. The software revolution came after Bitcoin Depot acquired the majority of Bitaccess in November 2022. Months before the deal, Bitcoin Depot said it would go public in 2023 in an $885 million deal with a private equity firm.
A software revolution for crypto ATMs that connects Bitcoin Depot hardware and software eliminates annual software license fees. Upfront costs are about $3 million in annual operating costs.
By the first half of 2022, BitAccess will be the market leader. However, as of July 2022, the company has seen a steady decline in total ATM transactions, according to data from Coin ATM Radar.
As shown in the graph above, BitAccess is now ranked third behind Genesis Bytes and Genesis Coin, with their market share increasing in the same order. Jason Sacco, BTM’s vice president of operations, explained the reasoning behind the move:
“By replacing the old hard drive with one loaded with BitAccess software, we were able to quickly complete the software conversion and avoid some of the technical problems that can occur in field conversion projects.”
Sacco also revealed that the first 6,000 Bitcoin Depot ATMs converted within 10 weeks. The rise of crypto ATMs is due to the high exposure to the public.
As El Salvador adopts bitcoin as legal tender, the country will build a supporting infrastructure of 200 ATMs and 50 branches, President Nayeb Bukele announced.
Related: Australia overtakes El Salvador to become 4th largest crypto ATM agency
The UK’s financial regulator, the Financial Conduct Authority (FCA), recently declared that all crypto ATMs operating in the UK are unregistered and illegal.
At the same time, FCA CEO Mark Steward announced his intention to regulate unregistered crypto businesses in the country.