Ever since the Bitcoin ATM was introduced, growth has been exponential and the total number has crossed 42,250 currently and counting. The reason for such exponential growth is the ease of use of these ATMs, the speed of transactions and the safety it offers. These ATMs evolved as a result of the mess that the online exchanges have created with transactions taking 3-7 days to get approved. On the ATMs, transactions don’t take longer than a minute and are code-protected to provide maximum security. Understandably, people have a lot of queries about the ATMs and we have listed down some prominent FAQs for better understanding.
Do I need a digital wallet in order to use the cryptocurrency ATM?
Yes, you will have to download a digital wallet from Google App Store, on your mobile app in order to use the BTC ATM. The cryptocurrency that you purchase, will be stored in this digital wallet and only you will have access to it.
What is the procedure of using the cryptocurrency ATM?
The ATM is user-friendly just like conventional cash ATMs. Here are the sequence actions that you will perform on the ATM:
- i) Choose the specific cryptocurrency you want to buy
- ii) You have the option of either using your phone number or a government-issued ID card e.g. driver’s license. Select the applicable option on the screen.
iii) In case you choose to use your phone number, you will receive a code that you must enter on the ATM as instructed.
- iv) The ATM will now ask you to scan your digital wallet.
- v) Different wallets have different procedures for generating the QR code that you must scan on the ATM.
- vi) Thereafter, make your payment as per the ATM’s instructions
VII) Complete the transaction.
Can I use cash to buy cryptocurrency?
Yes, you can use cash to buy the cryptocurrency. Some ATMs allow just cash transactions while others offer cashless payments as well.
When will I get my cryptocurrency after making the payment?
You will receive the cryptocurrency into your wallet within minutes of making the payment. Your wallet will receive multiple confirmations, usually 3-6 before the cryptocurrency gets deposited into your wallet.
Can I buy just a fraction of a cryptocurrency unit or will I have to buy the entire unit?
You can buy 0.00000001 part of a cryptocurrency unit which may cost as little as $1 or less.
Why does the crypto ATM want my personal details?
This is an Internal Revenue Service (IRS) know your customer (KYC) requirement that all crypto ATMs have to comply with. You cannot operate an ATM without first registering with the ATM operator company.
Is there a limit to the amount of cash that I can deposit in a cryptocurrency ATM?
Depending on the ATM operator, the maximum cash that you can deposit in an ATM is $20,000 in a single transaction.
People have been using the Bitcoin ATMs extensively and although there have not been any serious problems with any of these ATMs, queries about them are trickling in gradually. Among the best performing crypto ATMs are those operated by Cryptobase ATM, where you can both buy and sell cryptocurrency.