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The Federal Reserve Bank of Kansas City has released a research brief indicating that Bitcoin ATMs are now widely available across the United States, enhancing consumer access to digital assets through cash-to-crypto services.
Bitcoin ATMs (BTMs) allow users to convert cash into cryptocurrency and sometimes vice versa. They operate similarly to traditional ATMs but require interaction with a crypto wallet via QR codes, identification, and network transactions. According to the Kansas City Fed, many BTMs also support additional tokens like Ether, Litecoin, or stablecoins such as USDC or Tether. These machines are typically located in high-traffic retail areas such as gas stations, convenience stores, and supermarkets to maximize visibility and convenience.
According to the Federal Trade Commission (FTC), Americans reported over $10 billion in losses due to fraud in 2023. This figure marks the highest annual record ever noted, with most scams occurring within traditional financial channels rather than cryptocurrency platforms. The FTC highlights that imposter fraud, investment scams, and payment card misuse account for the majority of consumer harm. This suggests that while BTMs have been linked to fraud cases, they constitute only a small portion of the broader fraud landscape in the United States.
