You may have heard of Bitcoin, but did you know that there are more than 3,000 forms of cryptocurrency now in use around the world? Though it’s still a relatively rare form of payment, its use is growing: the number of Americans owning cryptocurrency rose 81% from 2018 to 2019. Cumulatively, global cryptocurrencies have a total market capitalization of over $237B (as of Jan 2020).
So, What Is It Exactly?
If you’re not familiar with how cryptocurrency works, here’s a quick tutorial. Think of it as a stock and money combined into one. It takes the form of digital tokens or “coins” enabled by blockchain technology that have fluctuating value ⏤ much like a stock’s value changes daily. While some cryptocurrencies have crossed into the physical world with credit cards or other instruments, most remain totally intangible.
How do consumers use cryptocurrency? A limited number of physical stores accept it as payment, but cryptocurrencies are often converted to cash in several ways:
- via an exchange like Coinbase or Kraken
- by receiving a crypto debit card
- or through kiosks and ATMs.
While most Americans treat cryptocurrency as an investment or diversification instrument, it’s also a useful financial tool for unbanked and underbanked populations that don't have the credit, identification or infrastructure to support Fiat currency. This makes cryptocurrency attractive to almost anyone.
Revenue Opportunities For Your Business
If you’re an ATM owner, it’s worth taking a look at adding cryptocurrency to your revenue stream. Expanding revenue opportunities can help to safeguard the profitability your business in times of economic downturn or shifts in the market.
New types of software make it easy to update existing, standard ATMs with the functionality to enable cryptocurrency trades, most commonly Bitcoin. It’s a great way to maximize the value of assets you currently own. And it can be highly profitable: cryptocurrency transactions often carry service fees as high as $5–$8 per transaction. Compare this to the average ATM fee of $2.77 (per the National ATM Council). While the volume of cryptocurrency transactions will likely be lower, their value is comparatively high. This means less transactions are required to reach your desired ROI on your ATM.
You Don’t Have To Learn On Your Own
Whether you’re interested in a single ATM unit or a fleet of them, seek advice from an experienced partner who can help you make sense of the technology options and put together the best solution for your business. This advisor should also be equipped to assist with routine maintenance and quickly deploy to perform onsite repairs or upgrades. Reliability and overall user experience are key to keeping customers coming back to your location, so you need a partner who has the capacity to respond wherever you are located.
We stay abreast of new technologies and can help you make the most of your payment and transaction ecosystem. With more than 134 years of experience, innovation and long-standing relationships, we’re well-positioned to help you devise a profitable, scalable strategy. From solution recommendations and installs, to monitoring and maintenance, to refurbishment, upgrades and sunsetting outdated equipment, we can support you through the entire lifecycle. Count on our extensive knowledge of hardware and software ⏤ and our technology-agnostic approach ⏤ for guidance you can trust.