Bitcoin ATMs Set to Debut

by Mercator Advisory Group 0

Lamassu Bitcoin Ventures reportedly is taking preorders for its Bitcoin ATM, which converts paper currency into bitcoins. The machines will cost $5,000 each for orders of one to four, orders of five to nine units will cost $4,500 each, and orders of more than 10 machines will cost $4,000 each. No recurring fees are charged.

From Tech Cocktail:

Lamassu has generated massive initial interest, receiving 150 inquiries from over 40 countries. Perhaps the hype is due to the fact that it converts paper money to BTC in 15 seconds, accepts bank notes from over 200 countries, is compatible with leading BTC exchanges, and is audited by network security experts.

“We have gotten orders from multiple countries including Canada, Finland, Slovakia, New Zealand and Denmark,” says Zach Harvey, Partner at Lamassu. “Being carefully optimistic, I think we will start seeing the first Bitcoin Machines deployed this October.”

Customers scan their Bitcoin wallet QR code at the ATM and insert a bank note; there is no minimum limit. After the amount of money has been detected, the corresponding number of Bitcoins is transferred into the customer’s digital wallet. Once the bank note is accepted, the transaction is final.

The Lamassu ATM is being designed with Bitcoin entrepreneurs in mind, but also for those who want to easily break into the Bitcoin world. Since there are no credit or debit transactions accepted, there is no hassle dealing with the banks; that blows the doors wide open for a large audience to get on board.

It remains unclear whether Lamassu has cleared one major potential hurdle, and that is whether the Bitcoin ATM falls within regional money-transmitter laws. If it does, Lamassu, or the operators of its machines, may have to become licensed money transmitters. The company’s website notes that some jurisdictions may have regulatory requirements, such as Know Your Customer/Anti-Money Laundering, and it advises potential buyers to consult an attorney before operating its machines. U.S. operators are required to sign a due diligence questionnaire before shipping.

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