Side Effects Of Bear Market: Installation Of New ATMs Slows Down

The Crypto space is witnessing changes in the market with every passing day. Like the aspect of Crypto ATMs, which is a new concept in the market. With these Automated Teller Machines or ATMs, you can sell or buy Crypto for fiats or with your debit cards. Most of these ATMs offer Bitcoin and some of the machines keep other Crypto as well. Another popular digital currency to consider trading is Ethereum. There are many platforms available for trading Ethereum available on the internet today that investors and traders can look into using.

But, with this industry experiencing a Bearish trend since late 2021, the number of new ATMs is reducing. This year, around 6100 ATMs have been installed, which is quite low compared to last year’s numbers. Their installations have a significant reduction in the present year due to the ongoing bearish phase in the market. Let’s see how it is going to affect the community as a whole! 

Change In The Trends 

In 2021, the prices of many Cryptos were at their peak, which attracted many investors towards it. These led to the installation of over 20,300 Cryptocurrency ATMs around the world. This is present in the data of CoinATMRadar, that the plantation of ATMs was the highest in 2021. 

The current situation in the Crypto industry is full of uncertainties and fluctuations. There has been the FTX crash, mass supply of fiats by many Central banks, military conflicts, and many more. All these factors have hurt the industry. 

With this, the total valuation of the Cryptocurrency industry is now around 850 Billion USD. But, if we compare the earlier situations, it was about 3 trillion USD in November last year’s November! The most influential Crypto, Bitcoin, has seen a fall of around 75% in these recent years. 

How This Situation Has Affected Installations? 

With the fall in the value of the Cryptocurrency market, investors are finding it hard to remain intact here. They are losing appetite for Crypto investments. And, with more risks in Crypto investments now, traders are avoiding the investments. 

These factors are affecting ATM installations. With a low amount of interest among traders, the plantation of ATMs has been facing a downfall as well. Till November 2022, nearly 6,100 Crypto ATMs have been planted in different parts of the world. This amount is about 3x less than the number of machines installed last year. 

Active Crypto ATMs And Nations Installing It

The world has around 38,863 active Crypto wallets, with the US having 34,000 machines alone! This nation is the leader in owning Crypto ATMs. Canada is in the second position with about 2,688 machines and Spain has 262 Cryptocurrency ATMs. Also, the country which is the first one to accept BTC in the form of legal tender, El Salvador, has 212 of these machines. 

The study of CoinATMRadar reveals that BitAccess, the firm which is responsible for Canada’s Crypto ATM plantation, has completed around 12,000 installations. This firm captures around 33% of the market share. And, firms like Bitstop and Genesis Coin follow the line! 

Cryptocurrency ATMs Are Returning To Japan

If we take a look at one of the most developed countries, which is Japan, there were no Crypto ATMs till this year’s August. In 2018, the higher authorities of the nation removed all these machines. Coincheck, which is a Crypto firm, faced a major cyber attack four years back. After this incident, there were no such ATMs in Japan. 

Its domestic exchange Gaia announced that it will install around 50 exchanges in 12 months. This number will increase to 130 ATMs in the upcoming years. The foremost machines that will be available in Osaka and Tokyo, will support four Cryptos. These will be Bitcoin, Bitcoin Cash, Ether, and Litecoin. 

Gaia’s President says that people feel secure that they can convert Bitcoin into cash within an instant. Cryptocurrencies are attracting attention as an investment option and currency too! 

Conclusion

With the present market situation, there are low plantations of Cryptocurrency ATMs around the globe. Though the scenario seems bad for these machines, Japan is taking a positive step toward it. The nation wants to expand these machines and is installing them around Japan.

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