More and more people are holding onto Bitcoin these days. Just a few years ago, Bitcoin was seen as an obscure, sketchy, digital trend that only the tech weirdos were investing in.
But today, Bitcoin is a global investment class that has produced far higher returns than anything else. It has become a mainstream investment, with companies large and small investing in it all around the globe.
The increased use of Bitcoin has led to the growing use of Bitcoin ATMs. These nifty little devices, scattered across the globe, make it easy for anyone to purchase Bitcoin in seconds.
Purchasing Bitcoin online is a bit more of a process and takes longer. But, using a Bitcoin ATM is fast and requires a lot less personal information upfront.
Are you wondering if they also provide you a way to cash out of your Bitcoin? Keep reading to see how to make a bitcoin ATM withdrawal.
What Are Bitcoin ATMs?
First off, what even are Bitcoin ATMs? They are just like normal ATMs, where you can insert a debit card and either deposit cash or withdraw cash from your bank account.
But instead of acquiring cash, you can purchase Bitcoin. This lets you skip the process of creating an account on an online cryptocurrency exchange. It lets you skip the online purchasing process, which can take a lot longer to complete.
With a Bitcoin ATM, you can complete your purchase in seconds and perform Bitcoin withdrawals by sending your new Bitcoin to any wallet address you want to store it. You’ll want to have a QR code of your wallet address be it a hardware or software wallet so that the ATM can send it immediately.
These machines do require some personal information to verify your purchase. But this information is never collected or shared, unlike an online exchange that stores all of your personal and financial information.
Do Bitcoin ATMs Give Cash?
So, you know that a Bitcoin ATM allows you to easily purchase Bitcoin. But can you also sell your Bitcoin and get cash like an ATM withdrawal?
If you find a two-way Bitcoin ATM, then you can either deposit cash for Bitcoin or withdraw cash by selling Bitcoin. Not all ATMs offer the ability to sell your Bitcoin for cash, but most do.
To sell your Bitcoin and get cash from ATM withdrawals, you’ll need to already have a personal wallet with some Bitcoin stored on it. When you choose the withdraw option, the ATM will show you its key, so that you can use your smartphone to send your Bitcoin to the ATM.
The process of recording your transaction on the blockchain can take a few minutes, which isn’t the fault of the ATM itself. That’s just cryptocurrency and maximum security using the blockchain.
Where to Find Bitcoin ATMs
Looking to perform Bitcoin ATM withdrawals? ATMs make the process super easy.
Otherwise, you would need to send your Bitcoin from your personal wallet to an online exchange. Then you would sell the Bitcoin online for USD, or your fiat currency of choice.
After that, you’d need to send the currency to your bank account, which could take a few days. Then you would need to visit your bank’s ATM in order to withdraw cash.
A Bitcoin ATM lets you skip all of those steps.
Byte Federal is one of the leading providers of Bitcoin ATMs in the country. They have over 900 ATMs in the US, with more popping up all the time. You can visit bytefederal.com for a complete list of Bitcoin ATMs near you.
Their ATMs are completely made in the USA and offer a secure, instant way to process Bitcoin transactions.
What Else Can Bitcoin ATMs do?
Bitcoin ATMs aren’t limited to buying and selling Bitcoin. Depending on the ATM provider, it may be able to complete a number of other useful tasks for you as well.
Some will let you purchase other cryptocurrencies and tokens, acting as a sort of crypto exchange. You may be able to buy gold as well, allowing you to hedge your money against inflation.
And some even offer trading signals, giving you an idea of whether a particular cryptocurrency might go up or down so that you can trade and profit from that information.
Tips for Using Bitcoin ATMs
- To use a Bitcoin ATM, whether you are buying or selling, you’ll want to have a Bitcoin wallet address ready to go ahead of time. When you buy Bitcoin, the transaction details are stored on the blockchain. Each transaction comes with public and private keys, which are considered your token of ownership.
- These keys prove that you own the Bitcoin. No one can take the Bitcoin without these keys. The keys are long strings of numbers and letters.
- You can use either a hardware or software wallet to store your Bitcoin keys. But when using a Bitcoin ATM, a software wallet downloaded on your mobile phone is the easiest.
- That’s because you can use the phone to produce or scan QR codes, making for quick transfer to and from an ATM.
- Most crypto investors will have both a hardware and a software wallet. The software wallet is the place where short-term coin investments go. In the case of using an ATM, you would first send your Bitcoin to the software wallet.
- If you plan on holding that Bitcoin for an extended period of time, you should then send it to your hardware wallet. Hardware wallets are physical devices that plug into your computer similar to a USB drive or external hard drive.
- They are the most secure way to store your cryptocurrency, as they aren’t connected to the internet, making it impossible for others to access.
Bypassing Traditional Banks
We are going to start seeing more and more Bitcoin ATMs popping up around the country and around the world. In our ever-digitized society, cash is still required for many things. But with fewer people wanting to deal with traditional banks, Bitcoin ATMs are making it easy for people to handle all of their financial needs without using or paying a bank.
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