Australia has emerged as a burgeoning hotspot for Bitcoin automated teller machines (ATMs), showcasing the country’s rapidly growing penchant for cryptocurrency. Data from Coin ATM Radar elucidates a dramatic increase from merely 73 Bitcoin ATMs in September 2022 to a staggering 1,162 by the present day. This notable expansion elevates Australia to the world’s third-largest host of Bitcoin ATMs, trailing only the United States and Canada, which boast 31,861 and 3,004 installations, respectively.
The United States has seen a stabilization in the number of Bitcoin ATM installations since February 2022, indicating a plateau in growth. Meanwhile, Canada has welcomed approximately 780 new Bitcoin ATMs during the same timeframe. This surge in Australia comes after a regulatory clampdown on these machines in 2019 amidst rising crypto prices, which initially hampered growth.
Auscoin, an early mover in Australia’s Bitcoin ATM scene, encountered setbacks when the Australian Transaction Reports and Analysis Centre (AUSTRAC) revoked its license due to suspected links with organized crime. The financial watchdog further highlighted concerns in April 2022 regarding the potential misuse of crypto ATMs for criminal financing in its “Preventing The Criminal Abuse Of Digital Currencies” report. Nevertheless, the operation of Bitcoin ATMs remains lawful within Australia, provided they adhere to regulatory licensing requirements.
The void left by Auscoin’s downfall was swiftly filled by international firms seizing the market opportunity. Notably, CoinFlip has become a dominant player in the region, operating around 700 ATMs across Australia and New Zealand, according to Coin ATM Radar. CoinFlip’s strategic foothold was strengthened through the acquisition of Layer 8 Networks in 2022, coinciding with the resurgence in the national Bitcoin ATM network.
The rapid multiplication of Bitcoin ATMs in Australia underscores the country’s warm reception towards cryptocurrencies and mirrors a global trend towards digital currency adoption. As regulatory environments evolve and operators navigate the complexities of ensuring secure, compliant transactions, the landscape for Bitcoin ATMs is expected to continue its dynamic growth trajectory.