As Bitcoin continued to soar to new heights in 2023, the number of crypto ATMs providing access to digital currencies through cash or debit cards saw a significant decline. According to Coin ATM Radar, the total count of crypto ATMs worldwide dropped from 37,827 on January 1, 2023, to 33,628 on January 1, 2024. This noticeable decrease within just one year is a departure from the historical trend of annual growth in Bitcoin ATMs.
For a decade, the number of installed Bitcoin ATMs had been on an upward trajectory, demonstrating the increasing popularity of cryptocurrency and the acceptance of crypto ATMs as a means of acquiring digital assets. Coin ATM Radar began tracking these figures in October 2013, and the count reached an all-time high of 39,376 in August 2022. However, the year 2023 marked a departure from this trend, with a net decline in the total number of Bitcoin ATMs by the end of the year. The global count of installed crypto ATMs is now approximately 11.1% lower than at the beginning of 2023.
One of the countries particularly affected by this decline is the United States, which is home to 82% of all crypto ATMs globally. Throughout 2023, the US experienced a substantial drop of 15.4% in its ATM count, falling from 32,672 to 27,631. Coin ATM Radar’s data suggests that BitAccess, a prominent crypto ATM manufacturer, may have played a role in this decrease. The company’s net installations witnessed a significant decline of 26%, dropping from 9,160 in August 2022 to 6,774 on January 1, 2024.
Bizarre Cases and Legal Issues
The year 2023 also saw some peculiar cases related to Bitcoin ATMs. In Jefferson City, Missouri, a 51-year-old resident named Matthew Klinger received a five-year supervised probation sentence after confessing to shooting a Bitcoin ATM with a handgun. His stated motive was to prevent the machine from taking money from others, highlighting the emotions surrounding cryptocurrencies and its tangible representations.
Lux Vending, operating as Bitcoin Depot, faced legal action against the sheriff’s office of McLennan County, Texas. The lawsuit alleges that authorities unlawfully seized $15,000 from a Bitcoin ATM, which was intended to compensate an elderly victim of an online crypto scam. However, Bitcoin Depot’s fortunes took a positive turn when the company went public on the Nasdaq on July 3 and expanded its operations to the 28th US state. The company reported a revenue of $179.5 million in Q3 2023, indicating a 3% year-on-year increase.
While the US experienced a slowdown in Bitcoin ATM figures, other countries saw a steady growth. Australia, Canada, Spain, and Poland all reported an increase in the number of Bitcoin ATMs throughout the year. This global phenomenon suggests that the decline in crypto ATMs is not reflective of a waning interest in cryptocurrencies but rather a shifting landscape and market preferences.
Despite the overall decline, two major manufacturers, General Bytes and Genesis Coin, continued to expand the count of Bitcoin ATMs. These companies played a significant role in countering the decreasing trend, indicating that the decline is not due to a lack of interest in cryptocurrencies but perhaps the changing market dynamics and the emergence of new players in the industry.
The decline in crypto ATMs worldwide, particularly in the United States, marks a shift in the landscape of digital asset acquisition. While Bitcoin’s popularity continues to rise, the traditional means of accessing cryptocurrencies through ATMs is experiencing challenges. However, this decline does not necessarily signal a decline in the interest or adoption of cryptocurrencies. It underscores the importance of adaptation and innovation in a rapidly evolving market. As the crypto industry continues to mature, new avenues and technologies for acquiring digital assets may arise, leading to a new era in the way we interact with cryptocurrencies.
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