- October 19, 2022
- |Bitcoin, Cryptocurrency, University
In 2021, there were around 26,000 Bitcoin ATMs in the United States. As cryptocurrency becomes more popular, more will pop up around the country.
Now is the perfect time to do it if you’re thinking about capitalizing on this growing market. But how do you go about getting a Bitcoin ATM for your business?
Thankfully, we’re here to answer all of your questions. So keep reading to learn what it takes to own a Bitcoin ATM and how to be successful.
What Is a Bitcoin ATM?
Before you learn how to dabble in the Bitcoin ATM business, you should understand exactly what a Bitcoin ATM is. It’s like a standard ATM but for people looking to buy and sell cryptocurrency. Bitcoin is the most popular buying option, but most crypto ATMs offer a variety of trusted coins.
Bitcoin ATM users most often use cash to buy cryptocurrency. Cryptocurrency is becoming, quite popular, opening up a market for people that are looking for the easiest and safest way to buy Bitcoin. This is where Bitcoin ATMs come in.
The popularity of crypto ATMs emerged in 2015. Since then, Bitcoin ATMs have proliferated nationwide. Even though cryptocurrency is virtual, many people feel more comfortable using an ATM that looks like the ATMs they are familiar with.
The market proves just that. The global ATM market was $35,80 million in 2020. However, experts expect it to grow to $3,557.05 million by 2030, a growth of 58.5%. So, if you’re thinking about whether or not to host a Bitcoin ATM, think no more. There is no better time than now to invest.
Is a Bitcoin ATM Right For You?
Owning a Bitcoin ATM might not be suitable for everyone. Remember that owning a BATM, flat out and operating it your own, isn’t a passive income. In fact, if you choose the independent route, you’ll have to run it like its own separate business.
To stay afloat and in compliance, it is imperative to keep track of the BATM’s legal status, know which licenses you need, and get all of the permissions needed. While rewarding, this process can be costly and time-consuming.
Owning a Bitcoin ATM will inevitably cost more out of pocket upfront. In order to get started, you’ll first need to buy the bitcoin machine and then invest in any licenses, as well as the hardware itself. Remember, you will also be in charge of maintaining the machine.
However, suppose you’re interested in owning a Bitcoin ATM business and have several locations to install them. In that case, it could be very profitable for you rather than just buying them and renting a place to put them.
Benefits of Hosting a Bitcoin ATM
Hosting a Bitcoin ATM in your retail business can bring you even more benefits besides just some extra cash.
Some of them include bringing in more customers, increasing revenue, and staying modern.
Bring More Traffic In
While there are a lot of Bitcoin ATMs out there, there aren’t as many as traditional ATMs. So if you have a Bitcoin ATM on your property, you’ll drive more traffic to your business.
Not only will you earn extra income from customers using the BATM, but you’ll also have more people in your store.
When your business hosts an ATM, you’ll bring in more money through the ATM and sales in your store. You will have more customers through the door. These crypto consumers could shop around after they finish using the machine, generating further income for your retail store.
Bitcoin ATMs can also increase your loyal customer base, which can ensure them coming back. Finally, depending on the type of BATM you decide to host, you’ll also get a portion of the revenue from each transaction made on your machine.
There’s no denying that cryptocurrency and Bitcoin are becoming more popular, and it’s not going anywhere anytime soon. Because of that, more people want to buy and use it for transactions.
If your business jumps on this trend earlier, you’ll be able to climb to the top along with cryptocurrency. In addition, you’ll show your customers that you’re still current and willing to keep up with the latest trends to keep their business.
To show that you’re even more dedicated to cryptocurrency, you could consider using it as a payment method for your store.
Stand Out in the Competition
Not many businesses will have a Bitcoin ATM initially, and you can stand out by having one in your retail store. You’ll also make your business more competitive by bringing in more foot traffic.
In addition, if you’re one of the only Bitcoin ATMs in the area, people will likely keep coming back to use the machine.
Suppose you’re already hosting a Bitcoin ATM. In that case, you may also want a traditional ATM to give your customers access to cash to deposit into the Bitcoin ATM.
If you can take advantage of this cash and find a way to make it easier for customers, you can avoid any handling fees. In addition, if you have a Bitcoin ATM in your location, you’ll also give your customers more options than just using a Bitcoin ATM.
When you host a Bitcoin ATM, the company you partner with will also advertise the location for you on its website. That way, customers can look it up and find your business and address.
When someone searches for a Bitcoin ATM, they will also direct to your retail store. Your business could also pop up during a standard Google Search when people look for “Bitcoin ATMs near me.”
Bitcoin is becoming more prevalent, and it’s making headlines. Most people have heard of it, and if you have a Bitcoin ATM on your property, people might be interested and want to check it out for themselves.
How Much Does It Cost?
Depending on the type of Bitcoin ATM you choose, it can cost between $3,000 and $14,500. However, some companies will even let you host it for free!
You’ll also want to ask if there are any taxes, import duties, or delivery and installation costs for the ATM.
How to Find a Machine
You’ll want to locate an existing machine operator and find someone who will install it at your store. Luckily, Byte Federal installs their Bitcoin ATMs, free of charge, nationwide.
You can start by giving us a call or searching for available operators in your area. Another option, if you plan to start your search, begin by submitting your business location and all of the details to operators. If they’re interested, they may even reach out to you.
How to Make Sure Your Bitcoin Kiosk Is Successful
Once you’ve found a host for your Bitcoin kiosk, the next step is to ensure its success.
Thankfully, a few strategies can help guide you and bring in that extra revenue and traffic.
Choose a Good Location
Before you choose to host a Bitcoin ATM, you’ll want to look in your area to see if there are any near you. If the market appears saturated, you might find it difficult to stand out, but if there are only a few crypto ATMs around, this would be the perfect time to put one in your retail store.
At their conception, many providers installed cryptocurrency ATMs in the same places as traditional ATMs. Often, they were placed outside of gas stations and convenience stores. However, since the Bitcoin ATM industry has seen such exponential growth, they can be found in various retail stores.
Brands should consider the best place for Bitcoin ATMs to ensure that it is accessible and easy to use. You’ll also want to consider how much physical space the crypto ATM will need.
Another essential step to cryptocurrency ATM success is ensuring that interested parties can easily locate your Bitcoin ATM using an online search. For example, your BATM should be listed on your business profile and on Google Maps. You can also advertise the machine on your company’s marketing material or social media to encourage people to use it.
Because cryptocurrency is so new, the laws surrounding how to spend and sell crypto are ever-changing. As a Bitcoin ATM provider, keeping up with regulations and rules is essential.
For example, you’ll have to follow all the rules enforced by the Financial Crimes Enforcement Network. As a BATM host, you will also want to have cash-to-cryptocurrency companies and adhere to all the compliance requirements.
Remember that these guidelines were written in the past. As a cryptocurrency ATM host, it is imperative that you protect your customers from financial crimes. The right Bitcoin ATM provider will have rules in place to protect both the retailer hosting the ATM and the customer.
For example, Byte Federal complies with the Bank Secrecy Act and Anti-Money Laundering Act. This way, the BATM provider handles compliance and reporting so you can focus on your business.
Use a Partner
Partnering with a cryptocurrency ATM provider is easier than doing it all on your own because they can offer extra services and securities.
You can choose from many different partners, but you’ll also want to look at their features to ensure that the machine runs smoothly. You’ll also want to choose one with a widespread brand reputation to drive in more customers.
You can share in their trusted reputation by working with a reliable Bitcoin ATM provider.
Don’t forget to consider the security of your chosen Bitcoin machine provider. Do they bring in the fiat currency in an armored truck? Some of the logistics of a traditional ATM will still apply to cryptocurrency machines.
Have Experience in Financial Industry
While this isn’t required, it can help if you already have some experience or knowledge of the financial industry. Remember that most ATM providers will have management teams with financial backgrounds, so you can rely on their support if you don’t have any experience.
However, cryptocurrency is still new, and because of that, people who don’t have much experience with finance might find it challenging to operate a Bitcoin ATM successfully.
As you begin your journey in the cryptocurrency industry, you will find it beneficial to partner with law enforcement, state regulators, and banks. need to learn how cryptocurrency works and its rules and regulations.
Learn More About How to Get a Bitcoin ATM Machine In Your Retail Store
These are only a few things to know about how to get a Bitcoin ATM in your retail store, but there are many other factors to consider.
If you’re convinced and want to start running your own business, you’ll need to choose an ATM from the right place.
Thankfully, we offer Bitcoin ATMs, so check out our website to start your business and earn money for your retail business.