A Bitcoin ATM, also known as a Bitcoin Teller Machine (BTM), is a physical kiosk that enables users to buy or sell Bitcoin using cash or debit/credit cards. It functions similarly to a regular automated teller machine (ATM), but instead of dispensing traditional fiat currency, it allows users to exchange their local currency for Bitcoin or vice versa.
Features of Bitcoin Teller Machines
Bitcoin ATMs typically have a touchscreen interface that guides users through the transaction process. To purchase Bitcoin, users can select the “Buy Bitcoin” option on the screen and follow the instructions to insert cash or use their payment card. The ATM calculates the exchange rate and displays the corresponding amount of Bitcoin delivered to the user’s Bitcoin wallet. After completing the transaction, the Bitcoin is transferred to the user’s wallet address.
How to sell Bitcoin
Similarly, to sell Bitcoin, users can choose the “Sell Bitcoin” option on the ATM and follow the prompts. They will typically need to scan a QR code from their Bitcoin wallet containing the address where they want to receive the cash. The ATM then calculates the exchange rate based on the current market value of Bitcoin and dispenses the equivalent amount in cash.
Bitcoin ATMs are usually connected to cryptocurrency exchanges, allowing them to access real-time market prices and facilitate transactions. They provide a convenient way for individuals to buy or sell Bitcoin without the need for a traditional online exchange account. However, Bitcoin ATMs may charge fees for their services, including transaction fees and potentially higher exchange rates compared to online exchanges. The availability and functionality of Bitcoin ATMs may vary depending on the location and the specific ATM provider.
Is there a Bitcoin physical card?
Yes! There are physical cards that allow users to spend their Bitcoin at merchants that accept traditional payment methods such as credit or debit cards. These cards are referred to as Bitcoin debit cards or Bitcoin prepaid cards.
Bitcoin debit cards work by connecting to a user’s Bitcoin wallet and converting the Bitcoin into a fiat currency (such as USD, EUR, or GBP) at the time of the transaction. The conversion happens automatically and in real-time, enabling users to purchase at any merchant accepting regular payment cards. These cards are issued by third-party companies. It can be used wherever major credit or debit cards are accepted.
When using a Bitcoin debit card, the user’s Bitcoin balance is debited, and the equivalent fiat currency amount is deducted from their account. This allows Bitcoin holders to conveniently spend their digital currency without requiring the merchant to directly accept Bitcoin as payment.
Bitcoin prepaid cards work similarly but are pre-loaded with a fixed amount of Bitcoin. Users can load their Bitcoin onto the card and then spend it at various merchants until the balance is depleted. These cards can be a good option for individuals who want to have a set amount of Bitcoin readily available for spending.
Bitcoin debit cards and prepaid cards are issued by different providers and the availability, features, and fees associated with these cards may vary.
