BitcoinMadeClear

What is a Bitcoin ATM?

A Bitcoin ATM is a machine that lets you exchange cash for crypto-assets. Some also let you exchange crypto-assets for cash; the available services depend on the operator.

Updated

Educational content only. Not financial advice.

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What does that mean for you?

It is not simply a window into your bank account. The operator sets exchange terms, fees and any identification requirements. The machine's location does not guarantee the safety of the person asking you to use it.

The Financial Consumer Agency of Canada explains that these machines can send the purchased crypto-asset to the address entered. That destination matters just as it does in another Bitcoin payment.

What is a Bitcoin ATM?Cash: Exchanged under operator terms. Destination: The address supplied to the machine. Crypto-asset payment: Sent to that destination.CashExchanged under operator termsDestinationThe address supplied to the machineCrypto-asset paymentSent to that destination
Cash: Exchanged under operator terms. Destination: The address supplied to the machine. Crypto-asset payment: Sent to that destination.

Can you picture an example?

Imagine someone on the phone tells you to put cash into a machine and scan a code they provide. The code may direct the payment to them. The machine cannot tell you whether the story on the phone is true.

What should you remember?

Read costs and destinations, and pause when a stranger demands a payment. We describe the machine type without naming operators or recommending that you use one.

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