Exactly What Are Bitcoin Atms And How Do They Work?

What is a Bitcoin ATM?

In any booming industry after a product has been developed, a myriad of ancillary businesses begin popping up to help support the sector. Think about all the accessories companies for iPhones that introduced following the time that the iPhone was released.

It's the same with cryptocurrency. From exchanges and digital wallets, to influencers, media sites, and even social media, Bitcoin as well as other cryptocurrency currencies have dominated the business world. The bitcoin ATM Alameda is among the most intriguing developments arising that resulted from this trend. In this blog post, Coin Cloud will be discussing the details of what Bitcoin ATMs are, and how they function.

What exactly are Bitcoin ATMs?

Like traditional ATMs a Bitcoin ATM is a portal where users can to make the financial transactions. Traditional ATMs allow customers to withdraw cash and deposit it, while Bitcoin ATMs let you purchase and sell Bitcoin by cash. Although early Bitcoin ATMs, as well as most of today's, did not permit users to sell Bitcoin, Coin Cloud ATMs do. Users are able to safely and securely purchase and sell Bitcoin using cash.

The elements of Bitcoin ATMs include a screen, QR scanner and bill acceptor. On the backend, these elements are tied together via software that makes purchasing and selling of Bitcoin simple, quick and secure.

But, Bitcoin ATMs are different than traditional ATMs in that they do not connect to the bank account. Instead, they are connected directly to a cryptocurrency exchange over the Internet. Exchanges like these allow users to buy and sell Bitcoin immediately.

The very first Bitcoin ATM was installed in 2013 in the Waves coffee shop in Vancouver, Canada. While the ATM was taken off the market, it was the machine that allowed others Bitcoin ATM companies to innovate within the industry.

What is the process? Bitcoin ATMs Function?

Selling and buying Bitcoin using a Bitcoin ATM is reduced into two easy steps:

Step 1: Verify your identity. Step 1: Verify your identity when a user comes up to an equipment for the first time. This is accomplished by various methods according to the machine. For use with Coin Cloud machines, you will need to input your mobile number into the machine. Following that you will receive an SMS message with a verification code that will allow you to access the machine. After verification, the user are able to proceed with the transaction.

Step 2 2. Decide whether to Buy or Sell. After logging into the BTM, he or she must decide whether they wish to purchase or sell Bitcoin. To buy bitcoin ATM Oakland one feeds cash into the machine. The machine creates a QR code from the cryptocurrency wallet they have on their mobile device that is then scanned to be able to purchase Bitcoin.

A user can sell Bitcoin through the transfer of Bitcoin via their wallet digital to the QR code provided by the Bitcoin ATM. Certain Bitcoin ATMs can immediately distribute cash, whereas others may require a few minutes to take to process. However, these verification times are significantly faster than exchanges on the internet. Check out how Coin Cloud allows selling and buying Bitcoin simple and quick for our users.