Share this article
Bitcoin. Ethereum. XRP.
If you’ve heard these terms more and more lately, but still do not know what they are or why you should be paying attention to them, then this article is for you.
In short, these are three of the top ten most-traded forms of cryptocurrency, of which there are now more than 3,000 types in use around the world. Although cryptocurrency is still a relatively new form of payment, it is growing quickly. In fact, approximately 46 million Americans now own at least one share of Bitcoin, which equates to nearly 17 percent of adults. Around the world, cryptocurrency's growth has been just as rapid—the number of crypto users is now estimated to be more than 100 million.
So what exactly is cryptocurrency, and what does its growth mean for your business?
How Cryptocurrency Works
If you’re not familiar with how cryptocurrency works, here is a quick tutorial:
Cryptocurrency takes the form of digital tokens—or “coins”—enabled by a virtual clearinghouse that authenticates, tracks, and transfers coin ownership from one wallet to another, creating what is known as blockchain.
Also, similar to other more established forms of currency—such as the U.S. dollar or the Euro—cryptocurrencies can have fluctuating value. However, they tend to have larger swings because of how new and speculative their markets are.
Although some cryptocurrencies have crossed into the physical world with credit cards or other instruments, most remain entirely intangible.
How Do Consumers Use Cryptocurrency?
A small (but growing) number of physical and online stores accept cryptocurrency as payment, but it is often converted to cash in one of several ways:
- Through an exchange, such as Coinbase or Kraken
- Through a bank-issued crypto debit card
- Through a money-exchange kiosk or ATM
Although most Americans treat cryptocurrency as an investment or diversification instrument, it is also a financial tool for unbanked or underbanked populations that don't have the credit, identification, or infrastructure to support fiat currency. This, combined with mobile-friendly platforms and relative anonymity, makes cryptocurrency attractive to almost anyone.
Opportunities for Your Business
If you’re an ATM owner, consider adding cryptocurrency to your revenue stream. This will not only set your ATM fleet apart from the competition but also expand your revenue opportunities to safeguard the profitability of your business in times of economic downturn or market shifts.
Adding this functionality can also be quite profitable. Cryptocurrency transactions often carry service fees ranging from 4–10 percent per transaction, compared to the average ATM fee of $4.64.
Although the volume of cryptocurrency transactions will likely be lower, their value is comparatively high, meaning fewer transactions are required to reach your desired return on investment.
And with the rise of cryptocurrency, new software can make it easy to update existing ATMs with the functionality for cryptocurrency trades—especially the most common form, Bitcoin.
You Don’t Have to Learn on Your Own
Whether you’re interested in a single ATM with cryptocurrency features or a fleet of them, you don’t have to go through this digital currency revolution on your own.
An experienced partner like Burroughs can help you make sense of technology options and put together the best solution for your business. Our team of experts is equipped to assist with routine maintenance, perform onsite repairs or upgrades, and provide real-time remote monitoring to keep downtime to a minimum, no matter where your devices are located.
Take the Next Step
At Burroughs, we have a long history of helping customers stay ahead of new technologies. We know that we can help your business make the most of its payment and transaction technology ecosystem.
With more than 134 years of experience, innovation, and long-standing partner relationships, we are positioned to devise a profitable, scalable payment and transaction technology ecosystem that bolsters your brand.
From solution recommendations and installs to monitoring and maintenance, to refurbishment, upgrades, and sunsetting of outdated equipment, Burroughs can support you through the entire lifecycle.
Ready to take the next step? Contact the team at Burroughs for a free consultation, or subscribe to our blog for more insights.
