Bitcoin has always been the most popular Cryptocurrency.
Also, when it comes to the most efficient Cryptocurrency that can make you rich overnight, it is nothing but BItcoin. That is why the popularity of Bitcoin is increasing day by day. More and more people are showing interest in the Bitcoin market and putting their money in.
Experts are predicting that Bitcoin is going to be the next big thing and also can become a crucial alternative to traditional fiat currencies.
If you are also thinking about investing in Bitcoin, we will always recommend you to go with all those efficient Bitcoin trading platforms like Quantumai instead of opting for Bitcoin ATMs. Bitcoin ATMs might seem convenient, but in reality, it comes with some major disadvantages.
Here, in this article, we will talk about the disadvantages of Bitcoin ATMs. But before starting at the main topic, let’s have a complete understanding of Bitcoin ATMs.
What Is A Bitcoin ATM?
When you are thinking about buying Bitcoin, Bitcoin ATM is one of the easiest and most valuable ways to do that.
Bitcoin ATMs are for making Bitcoin transactions, but it is completely different from the traditional ATMs. Using Bitcoin ATMs, you can buy Bitcoins. You need to follow the below-mentioned steps for that.
First, you are required to verify your identity with your phone number.
After that, to sell or buy Bitcoin, you need to add cash to the Bitcoin ATM machine.
After that, you will get a QR or quick response code. It connects with your digital wallet for verifying the transaction.
After completing the verification, the transaction record will reflect on your digital wallet.
Here, for using a Bitcoin ATM, you are required to pay a fee.
Major Disadvantages Of Bitcoin ATMs
Before you think of depending on Bitcoin ATMs for making your Bitcoin investments and transactions, you should know the major disadvantages of Bitcoin ATMs.
1. Higher Fees
One of the most prominent disadvantages of Bitcoin ATMs is you have to pay higher fees when you are making a transaction. Only after paying the fee will you be able to proceed to the next step.
The fee usually varies from one platform to the other. So, before you opt for a Bitcoin ATM, you must check the fee that you might require to pay. In most cases, users refrain from using Bitcoin ATMs as no one wants to pay the charges.
The starting range of Bitcoin ATM fees is somewhere between 8% to 13% of the total transaction. As we have mentioned earlier, you need to be a little attentive to the machine fee before visiting a Bitcoin ATM.
2. Hard To Find
Although the Bitcoin or Crypto industry is booming now, it still has a long way to go. At present, finding a Bitcoin ATM is indeed tough. Across the globe, there are only around 15,000 Bitcoin ATMs.
It means you will pass across a lot of Bitcoin ATMs on your way. You first need to search for the “nearest Bitcoin ATM,” and then you need to drive miles after mile to get a Bitcoin ATM. The good news is that there is a dedicated application available both for android and iOS devices that will help you find a nearby Bitcoin ATM.
The lack of Bitcoin ATMs is also making using Bitcoin ATMs expensive. First, you are required to pay higher fees for using Bitcoin ATMs, and then you are also required to pay for the gas and then drive long to get there.
3. Machinery Issues
Although the number of machines implanted in the area is increasing, they are repaired by their owners. A lot of people are making complaints about the working issue of most Bitcoin ATMs.
So, in case you need to use a BItcoin ATM for an emergency, you need to find one that is actually working properly. There are also several instances when the investors could not use the Bitcoin ATM for several days due to mechanical issues.
If you completely depend on Bitcoin ATMs for making your Bitcoin transactions, you might lose a lot of attractive opportunities. Along with installing Bitcoin ATMs, the owners are also required to maintain them properly and keep them in working condition.
Using Bitcoin ATMs once in a while is okay, but when you are starting Bitcoin investments, you should never rely on Bitcoin ATMs. Rather than that, you should go with the best Bitcoin trading platforms.