Crypto ATM network shrinks as US loses 1,200 machines in days

Greater than 1,200 cryptocurrency ATMs mysteriously went offline in the USA in the course of the first weekend of March, simply days after a senator launched the Crypto ATM Fraud Prevention Act to cease crypto ATM fraud.

On Feb. 25, Illinois Senator Dick Durbin proposed legislation to target fraud at crypto ATMs within the US, citing a current incident involving considered one of his constituents. His proposal got here the identical month that 860 new crypto ATMs have been put in within the US.

Nonetheless, within the first three days of March, the worldwide Bitcoin (BTC) ATM community noticed a web decline of 1,100 machines, with the US accounting for 1,233 of these losses. The closures have been barely offset by new installations in Europe, Canada, Spain, Poland, Australia and Switzerland, according to Coin ATM Radar information.

The US is dwelling to the world’s largest crypto ATM community

The ATM closures brought about a small dent within the US’s large crypto ATM community.

As of March 3, the US hosts 29,731 crypto ATMs, representing 79.9% of all crypto teller machines worldwide. Canada and Australia take up the following two spots, with 3,085 ATMs (8.3%) and 1,467 (3.9%) respectively. 

Stagnant crypto ATM development amid regulatory crackdown

At present, 37,226 cryptocurrency ATMs are energetic globally. The expansion of the crypto ATM ecosystem has stagnated since mid-2022 owing to evolving rules and crackdowns on unregistered companies.

Associated: UK hands down first criminal sentence over illegal crypto ATMs

Durbin’s proposed laws would require crypto ATM operators to warn customers of scams to forestall fraud. Moreover, it is going to introduce measures to reduce lack of funds and empower regulation enforcement with instruments to trace illicit transactions.

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