Buying Bitcoin is no longer a tedious process, and many Canadians are starting to understand that. If you want to invest in a cryptocurrency like Bitcoin in a physical location, there were no options in the past, but cryptocurrency ATMs want to change that.
While these are still few and far between, using a cryptocurrency ATM is similar to using a cryptocurrency exchange. Although online exchanges became the norm, ATMs were the first place you could buy Bitcoin, with the world’s first appearing in Vancouver in 2013. They can be found in convenience stores across Canada, as well as in shopping malls and various coffee shops. You may not have noticed them before, but we’re sure you will now.
How many cryptocurrency ATMs are available in Canada?
By 2022, there will be approximately 1,051 cryptocurrency ATMs available in Canada. The number of cryptocurrency ATMs doubled from July 2020 to 2021. This coincided with record crypto growth and increased investor interest during this period. About 83% of these ATMs were connected through a single network covering all of North America.
It is also important to pay attention to which providers have a good reputation and offer the safest transactions when using a Bitcoin ATM. Finding an “off-brand” ATM isn’t a common occurrence, but it’s something you need to be aware of when it comes to investing in cryptocurrencies for cash. If the ATM is offered by any of the following brands, you can make your purchase with confidence:
Most of the machines you deal with are also manufactured by two companies. The first of them is Genesis Coin, which accounts for 34.6% of the machines. The second company is General Bytes, which produces 30.3% of the machines. Of course, there were a few more added to the mix.
Locating a Crypto ATM in Canada
There are over 1,000 cryptocurrency ATMs across Canada, and they are much easier to find these days than in the past. You can use a website like Coin ATM Radar to see where they are located across the country, as well as identify those near you. This page will also tell you who the ATM provider is, whether it is available 24/7, and even how many ATMs are in the geographic cluster.
Usability of cryptocurrency ATMs
Some people just want to get some Bitcoin or other assets quickly. Others don’t have the time needed to register on one of Canada’s top 15 exchanges. Cryptocurrency ATMs are a convenient investment opportunity for beginners, the curious, and seasoned cryptocurrency experts alike.
There are two different types of ATMs, each of which allows you to trade cash for Bitcoin. A basic ATM focuses solely on selling Bitcoins and allows you to purchase them for physical cash. The more advanced ATM option allows you to both buy and sell Bitcoin (BTC).
What is the point of using a cryptocurrency ATM?
Most people claim that money laundering is the sole purpose of cryptocurrency ATMs, but this is not the case at all. There are always bad apples in every community. Cryptocurrency ATMs exist to help increase the speed at which cryptocurrencies are accepted by the public. The number of these machines in Canada is gradually increasing. They also allow people to learn more about cryptocurrencies in general, including how to secure their cryptocurrencies with wallets and how to track their assets.
Although they are convenient, the fees are much higher compared to traditional bank fees. Purchasing Bitcoin for $20 could cost an additional $2.75 plus 10% extra. This means your $20 of Bitcoin will cost an additional $4.75. These fees will also vary in price depending on the type of ATM you use. The Bitcoin4U machine costs an additional 8% to 12% in fees on top of the base fee of $1.50. Therefore, $20 of Bitcoin costs about $3.90 extra.
The easiest way to buy cryptocurrencies for cash?
While there are many different ways to purchase Bitcoin in 2022, one of the easiest is to use a BTC ATM. There are no questions asked and the cryptocurrency is sent directly to your wallet. You simply invest in the cryptocurrency industry using physical cash. Just remember the fees you have to pay.
Getting started: how to buy cryptocurrencies at an ATM
This may seem complicated if you’re first investing in cryptocurrency, but fortunately, cryptocurrency ATMs make the process easier. If you have cash and are ready to enter the cryptocurrency space, simply find an ATM and follow the steps below. If you can, try to find a Localcoin machine for optimal cryptocurrency ATM experience.
Step 1. Tap the screen to start the transaction
Step 2. Select the coin you want to buy. I buy Bitcoin here.
Step 3. Read the Regulations
Step 4. Verify your identity with your mobile number. This is a know-your-customer (KYC) process.
Step 5. Scan your wallet’s QR code and enter the address manually if prompted.
Step 6. Insert cash into the machine. It will display the value you deposited. Then select “Buy”
That’s it! You just bought Bitcoin with cash at a crypto ATM! Now that you understand the process, you can do it whenever you want. Just in case, keep your receipt and transaction number in a safe place, especially for tax purposes if you are purchasing a larger amount.
Once you have completed your purchase, check your wallet to ensure that the transaction has been completed after completing the required confirmations. Bitcoin transactions can take a few minutes in most cases. If the network is slow, it may take 30 minutes to an hour.
How about using a printed paper receipt for machine-generated wallets?
There are also times when a person will not have their wallet set up before making a purchase. In this case, the machine will automatically generate it for you. Keeping Bitcoins in a paper wallet is never ideal. You need to move him to a safer place as soon as possible.
If you must, you will be able to buy Bitcoin from an ATM without access to your own personal wallet in Canada. You need access to an app like Breadwallet or Mycelium. Without these apps, your purchase will be stuck in crypto limbo forever until your paper wallet expires.
Invest in Bitcoin via cryptocurrency ATMs
If you have cash and are ready to join the cryptocurrency community, finding a cryptocurrency ATM near you is a great place to start. Financial freedom is something we all want, but making the right investments is a key element to achieving it. Although Bitcoin is volatile, it is an asset that has the potential to change people’s lives for the better, but you always have to buy some for yourself first.
Crypto ATM FAQs
Are there any restrictions when purchasing Bitcoins via an ATM?
Most ATMs introduce limits and ask customers to verify their identity via text message or email. KYC (know your customer) is a common process when registering on an exchange and can also be applied to Bitcoin ATMs if you want a higher limit.
Can I use my debit or credit card at a Bitcoin ATM?
No, they only work for cash. You can buy Bitcoin for cash or sell it and immediately receive the proceeds of the sale in cash.
Can I buy smaller amounts using a Bitcoin ATM?
Of course you can! You don’t have to commit to the investment right away. You can buy a small amount to start with. You’ll probably end up buying fractional amounts anyway, since all of Bitcoin costs thousands of dollars.
Where can I get a QR code with my wallet address?
You must have a QR code with you, but that doesn’t mean you have to take your computer with you and try to scan it from the screen. You can print the QR code from your wallet and take it with you in paper form to scan. The easiest way to find your address is to go to blockchain.info, enter the address and click search. Find your address and the QR code will be displayed along with other blockchain data.
How to send Bitcoin to someone via a Bitcoin ATM?
You should not use Bitcoin ATMs to buy or sell Bitcoin yourself. If you are sending bitcoins to a family member or someone in another country, you should first confirm their wallet address before sending bitcoins via your bitcoin wallet. Transferring cryptocurrency from a wallet to another wallet is another topic that needs to be researched and understood well in advance.
What should I do if I encounter ATM errors?
Different machines may encounter different errors. This was much more common a few years ago, but Bitcoin and other cryptocurrency ATMs have since undergone many improvements and are now very reliable. However, your best option is to contact the Bitcoin ATM operator serving the machine you were using so that they can resolve the issue. Typically, this information can be found on the device you are using.
Can I buy large amounts of Bitcoin?
Some machines can handle such large transactions, while others cannot. You need to check out specific places in the area. When it comes to verifications, this varies by carrier, but for a large amount you’ll likely need to perform a higher level of verification before making a transaction (e.g. SMS phone verification + ID scan verification). However, this depends on the location you are using, so please check carefully beforehand.
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