The first five months of the year had seen the installation of Bitcoin ATMs go down, but Coin ATM Radar Report reveals that there has been a swift recovery in this number in June. The early months of 2022 saw the number of installations fall, as only 202 new Bitcoins ATMs were installed in the month of May. According to Cointelegraph, this is the lowest number to be seen since 2019. However, it appears that the numbers are picking up once more, as the speed has picked up.
Bitcoin ATMs Deployed Globally Increase
Coin ATM Radar reported that the number of Bitcoin ATMs installed in June had increased, as 817 ATMs alone had been installed in the first few days. The total number of global Bitcoin ATMs is around 38,115. Last month, the total number of ATMs installed stood at 890 and this number had been 1,357 in April. But, the first two weeks of June saw about 882 ATMs installed and there are still two more weeks to go.
This is a drastic change because all statistics had indicated that the number of Bitcoin ATM installations had gone down significantly since January. In December 2021, the total number of Bitcoin ATM installations stood at 1,971, but this number had seen a decline of 89.75%.
Why Did the Number of ATM Installations Decline?
Some of the reasons behind the decline in Bitcoin ATM installations include market saturation, the increasing geopolitical tensions due to the Russia and Ukraine conflict, the ambiguous regulation and anti-crypto policies and the commercial consequences of the global COVID-19 pandemic. The data from Coin ATM Radar shows daily Bitcoin ATM installations globally are around 23. But, the last six months saw this number hit a stagnant spot.
Some of the market experts have attributed the fall in the number of Bitcoin ATMs to the downturn in the crypto market. After reaching an all-time high in November 2021, Bitcoin has been gradually decline. This year alone has seen the world’s largest cryptocurrency shed almost 50% of its market value and it has now reached lows that were last seen in December 2020. As far as the crypto space itself is concerned, it had reached a total market cap of more than $3 trillion in 2021. However, this year it saw its total market cap go below $1 trillion and it is declining even more.
It is also important to note that the number of Bitcoin ATM fraud victims has also increased significantly. This is primarily because of the lack of regulation in the market and no enforcement process. However, the FBI has taken note of the rising number of scam and fraud cases and it is likely that they will step in. This could also bring down the number of Bitcoin ATMs, as some of the lax operators will have to comply with regulations and meet proper standards, which they may not be able to do. Hence, the number is likely to go down.