Hi Guys!
They have a Bitcoin ATM here in Palm Springs, and so while I was on vacation, I decided to check it out! In the video, I show you exactly how it works and actually interview the shop owner on why he decided to bring it in, and how much traffic he gets because of it.
How Does it Work?
It was actually really straight forward. It was a cash only machine - and so if you want to purchase Bitcoin, you will need to bring cash with you. You can also either come with the private key for your bitcoin wallet ready to go - or start one right there on the spot. If you choose the latter - you will need to download a bitcoin wallet app on your phone and totally set it up.
There was also an option to buy Litecoin. There was an entire " alt-coin" section, and so I imagine they will add more alt coin options in the future.
Another important distinction is that you can use this ATM to buy bitcoin, but not to sell it. You can't cash out bitcoin and walk away with a pile of bills from this device.
Increased Anonymity?
A lot of people want to use a Bitcoin ATM to increase the anonymity of their transactions. The ATM had both a camera and a thingerprint reader - but an interview with the owner enlightened us on a few of these details. He had the thumbprint reader turned off, and the "camera" looking object was actually a QR reader.
At first, it seemed like between the thumbprint reader and camera, it wouldn’t be very anonymous. With those features turned off though - it seems like the transaction is pretty straight forward. I imagine what state or country you are in may have different rules around the amount of information required to use the ATM. It will be interesting to see how that starts to play out over time.
Are there Fees?
There was a very small fee of $1 to use the machine. As you see in the video though - the trading price of Bitcoin is inflated. It read over 10k, and bitcoin is currently sitting at closer to 9k. You are paying a bit of premium to use the ATM, but the fees themselves are quite low.
Interview with the Shop Owner
He does not physically own the Bitcoin ATM, but he allows it to be in his store and it is completely run and operated by someone else. In my interview with him, I asked him why he decided to bring it into his shop. Even though he didn't seem to understand a whole lot about bitcoin and blockchain technology in general, he understands that it is a changing and evolving technology that people are excited about.
His hope as a business owner is that by putting this in his shop - people will come there specifically for the ATM, and then buy a few things while they are there.
Being Nerdy on Vacation
We don't have any Bitcoin ATM's where we live, and so finding one in Palm Springs was really exciting! Our friends were making fun of us, but it was a really fun opportunity to check one out for the first time and play around on it. I hope you enjoyed watching the video and checking one out too!
Have a great night!
xo, Lea
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Can't wait to see an all in one ATM for all crypto! That would be so freaking good , wouldn't it?
Agreed!! I think we will eventually get there... 😊
I contacted an ATM provider and actually tried to get shop owners (I left the brick and mortar part of my business in 2006), in my area to add these to increase their exposure (a novelty in town),as well as a bit of commisionary income. They all said no for various reasons, which I thought ok, but what a missed opportunity.
One place was even one of those shared office spaces that I actually held crypto class in... that would have been a perfect place for it as all there are entrepreneurs with that great mindset of freedom and unique ideas for others... but alas they did not want the ATM.
I guess I will have to go back to brick and mortar to accomplish this goal.
Brick and mortar is tough right now in the “Amazon Age”. It is surprising that more business owners aren’t open to something that will help drive traffic into their shop. That’s part of what impressed me with this business owner. He saw the value of that.
They and many will look back at people that tried to tell them of something that would be unfolding. Look at what happened to small local businesses with Wallmart and Amazon. People resist new constantly.... those that embrace it grow. I look at all fads as they all have great short time potential, it is surprising small business people do not jump on this new idea, even if just a fad or gimmick.
This is pretty epic! I have yet to use one myself but have a feeling its going to become more and more common place over the next few years. Right now it is great for shop owners one way to get some foot traffic!
Thanks for the walk through,I havent seen one yet where I live.I hope someday you will be able to take cash out.
I would get litecoin,it works so much faster than bitcoin and will go up more in fiat dollars soon I think.
This is amazing to see Bitcoin ATM. Cryptocurrency is going to come to the mainstream sooner or later. Then it would be normal to use cryptos because everyone accepts that as a medium of exchange.
I'm looking forward to that moment!
Cool video, @coruscate. I visited one of these in Boulder, CO last year.
Some of the fees were incredibly high. I was seeing premiums as much as 15-22% in some cases.
The one I went to definitely had a camera, but not one of the scary biometric scanners. Nice. Wow. lol Glad you didn't have to use it.
I am sure anyone who is in cryptocurrency is interested to visit one of these bitcoin machine. We would probably take a photo with it like 'I was here kind of thing' . Thanks for sharing your exciting experience! with bitcoin machine!
I wouldn't want to go to the machine with my private key. That is the one you are supposed to keep in a safe and only use when you empty your public address. You'd bring your public key, right?
I was wondering how those machines work. They sound very convenient.
Coruscate, any chance you'd be interested in becoming an affiliate with http://bitcoinhatclub.com ?
Let me know! Great content!
this is a life that you feel is amazing, hopefully you feel happiness, thank you for sharing a video of you are happy
Bitcoin atm that will come in very useful as other exchanges come with high charging fees. I might need to own one, dont you?
Hola @coruscate Espero que llegue el día cuando haya un monedero bitcoin en cada lugar, que sea tan común como un cajero corriente. Por lo menos ya tienes la experiencia de haberlo usado. Saludos!...
This is great to see! It shows the promise of adoption and the alternatives that could be available in the future.
This is a wonderful invention. Thanks for sharing.
excelent topic!!!!
Wow they have been around for like 8 years in Canada. Most just collected dust until 2 years ago.
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Unbelievable! just hearing this for the first time. This was very thoughtful of that shop owner.
He deserves some accolades!
Cool coverage on this. Thanks for sharing because i've never used a btc ATM
Those are few and far between unfortunately. Especially in Idaho. Hopefully we'll see more of them soon.