[Stanley]

Why the U.S. is Clamping Down on Bitcoin ATMs

New laws are calling for daily transaction limits on Bitcoin ATMs — with some cities banning them altogether.
The post Why the U.S. is Clamping Down on Bitcoin ATMs appeared first on Cryptonews.



https://cryptonews.com/exclusives/why-th...coin-atms/

[Omniscient]

I've used BTC ATM's before. They are a rip-off for fees. The article is complaining about them being used by scammers who tell their victims to use the BTM to get funds for scams. Not sure why they blame it on the BTM and not ATM's or even Western Union. Scammers are the problem not the machines. Companies often go through whatever lengths necessary to keep that fraud number low.

[SUI-3183372]

Detectives used power tools to break into the machine and recover the physical cash inside — with a grand total of $31,900 seized.

Who's collecting this cash?

I've never really considered before who's has custody over the BTC in a BTC ATM, nor was I aware they could be used with cash.

[Omniscient]

Who's collecting this cash?

I've never really considered before who's has custody over the BTC in a BTC ATM, nor was I aware they could be used with cash.

The owner of the BTM owns what's inside (BTC and USD). You can buy these and install them wherever you can find a rental spot. Because of regulation though you might have to register in the State and Federally as a MTB (Money Transmission Business). Every BTM I've ever used required KYC.

They sell at rates 10-25% over market. They buy BTC at 10-25% below market rates. So typically because of these very high fee, I think it's only really used by shady people. Any normal person would just sign up at Coinbase or Crypto.com. Not really that far off from the type of debanked people who have to use Western Union.

They would be awesome if they were regular 2-3% rates. Vegas has them all over. I try not to use them unless it's an emergency.