Lux Vending, an Atlanta-based company, operating under the brand, Bitcoin Depot, has installed 30 Bitcoin ATMs (BATM) in Chicago. This will enable people to buy and sell Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. Also, the move is aimed at encouraging the adoption of cryptocurrencies and compete with other companies in the area, according to a media’s report on January 28.
30 Bitcoin ATMs Have Been Installed in Chicago So Far This Year
Reportedly, Bitcoin Depot has delivered 30 Bitcoin ATMs to Chicago since the year began. The company has been said to compete with several BATM operators in the U.S. state. This can be attested to the fact that Bitcoin Depot has 200 kiosks in the city alone, which is higher than any other region in the U.S except its headquarters, Atlanta.
According to Brandon Mintz, Bitcoin Depot’s CEO, Chicago has become the major city where the company’s machines are located. He also added that the area has a niche customer base. Asides that, other companies in the crypto industry that have settled in the region are ErisX and SeedCX, two trading platforms. Coinbase, a cryptocurrency exchange also has an outpost in the city to cater to its customers.
Cryptocurrency Enthusiasts Trade Fiat Currency for Virtual Currencies
The users of these Bitcoin ATMs, on the other hand, exchange the US dollars for digital currencies. These virtual currencies are then used for the purchase of goods and services online. However, many have complained about the high fees usually applied in transactions.
In this case, some companies have been known to charge as high as 10 to 20 percent of the total amount deposited in dollars. Nonetheless, Bitcoin Depot has set up an initiative to reduce this fee for an unspecified amount of time. Hopefully, this will help to encourage more people to take advantage of these machines.
Over 4,000 Bitcoin ATMs Across the World
BTCNN on January 10 pointed out that there are over 4,000 Bitcoin ATMs around the world and most can be found in regions such as the U.S and U.K. In the case of the U.S which accounts for 55.9 percent of these machines, Coinatmradar.com outlined that specific regions which they can be found are California (475), Illinois (252), and Chicago (226).
On January 25, BTCNN also informed that the popularity of this hardware could be attributed to some factors. Some of these are their ease of use and convenience in comparison to making purchases from exchanges. Besides, a user can avoid the signup and Know Your Customer procedures usually required by digital assets exchanges.