The number of Bitcoin ATMs worldwide decreased in May after a period of growth, with the decline driven largely by the removal of over 300 ATMs in the United States. The US represents over 80% of the global Bitcoin ATM market, and the total number of Bitcoin ATMs globally fell from 37,902 to 37,621 in May. The US saw the largest decline, losing 302 machines, while Canada lost 28 machines. Law enforcement agencies in the US have been actively targeting ATMs used for illegal activities like extortion and scams, which may have contributed to the sudden decline.
Scams related to Bitcoin ATMs have become increasingly common in recent years, coinciding with the rise in Bitcoin usage. A major manufacturer, General Bytes, experienced a security breach last year that resulted in the theft of $1.5 million worth of Bitcoin from its operators. Despite the decrease in Bitcoin ATM numbers, the largest Bitcoin ATM operator in the US, Bitcoin Depot, reported steady earnings in 2024. The company’s revenue is not correlated with the price of Bitcoin, as most users utilize its services for legitimate purposes such as money transfers, international remittances, and online purchases, rather than for speculation on the price of Bitcoin.
At the time of publication, the net decline in crypto ATMs has been reduced to 280 due to the installation of new machines in Australia, Switzerland, and Europe. Australia has quickly become the third-largest network of active Bitcoin ATMs after the US and Canada, with 1,041 machines. Bitcoin Depot remains dedicated to bringing Bitcoin to the masses, with plans for further expansion and partnerships. The lack of correlation between revenues and the BTC price is attributed to the nature of the services provided by Bitcoin ATM operators, indicating that the decline in ATM numbers should not be seen as a bearish indicator for the crypto market as a whole, but likely attributed to external factors.
It is unclear what exactly caused the sudden decline in Bitcoin ATM numbers, but law enforcement agencies in the US targeting ATMs used for illegal activities may have played a role. Scams related to Bitcoin ATMs have been on the rise in recent years, with a major manufacturer, General Bytes, experiencing a security breach that resulted in the theft of $1.5 million worth of Bitcoin from its operators. Despite the decrease in Bitcoin ATM numbers, Bitcoin Depot, the largest Bitcoin ATM operator in the US, reported steady earnings in 2024, with revenue not being correlated with the price of Bitcoin due to the legitimate use of its services by users.
The net decline in crypto ATMs has been reduced to 280 due to the installation of new machines in Australia, Switzerland, and Europe. Australia has become the third-largest network of active Bitcoin ATMs after the US and Canada, with 1,041 machines. Bitcoin Depot is continuing its expansion and partnerships to bring Bitcoin to a wider audience. The lack of correlation between revenues and the BTC price suggests that the decline in ATM numbers is likely due to external factors and should not be interpreted as a bearish indicator for the crypto market. Further information on how to use Bitcoin ATMs can be found in the 2024 Guide.
