The crypto ATM market is set for strong growth according to a new report from ResearchandMarkets.com published on 4th September.
The researchers expect the cryptocurrency ATM market to grow from $16.3 million in 2018 to $144.5 million by 2023, citing a compound annual growth rate (CAGR) of 54.7 percent from 2018 to 2023.
The most significant market growth will be in two-way ATMs. These allow customers to change their cryptocurrency into fiat money and vice versa and this functionality is the main drivers of this type of ATM’s popularity.
The report also highlights the fact that the expansion of crypto ATMs in countries such as the USA, Germany and Japan are important elements of future growth, as is the rise in the rate of crypto adoption. It is likely, the researchers claim, that the North American market will have the biggest share of the crypto ATM market, largely due to the “large number of crypto ATM hardware and software providers, as well as a favorable investment environment will facilitate the dominant position of the U.S. in the market.”
If there are any limits on growth in the crypto ATM market, it is likely to come from uncertainty over regulations alongside a lack of public awareness about how cryptocurrency functions.
Needless to say, this news is a worry to the traditional ATM sector, which sees these new machines as a threat to their business. Cardtronics, one of the world’s biggest ATM operators has already made some warning noises in its 2018 annual report about the threat from cryptocurrencies. The company cannot have been thrilled to hear that consumer behaviour analysis shows a significant shift in preferred payment methods, with more customers now choosing electronic forms of payment over traditional physical banknotes, leading to a decline in the use of ATMs more generally.