Crypto ATM market is set to see higher growth in the coming years, according to a new research. ResearchAndMarkets.com in its latest report highlights that the sector is set for a 32.7% CAGR growth in the coming four years.
Crypto ATM Sector To Hit Over $1 Billion in Revenue In 2028
According to the report, the market for cryptocurrency automated teller machines (ATMs) has expanded rapidly in the last several years. At a compound annual growth rate (CAGR) of 32.6%, it will increase from $0.42 billion in 2023 to $0.55 billion in 2024.
In the upcoming years, the market for cryptocurrency automated teller machines (ATMs) is anticipated to grow at an exponential rate. It will increase at a compound annual growth rate (CAGR) of 32.7% to reach $1.71 billion in 2028.
DeFi Growth and Institutional Acceptance Stays As Main Reason For Crypto ATM Growth
The growth of the crypto ATM sector will not come on the back of one contributing factory, but instead is projected to be a multi-sector development project.
Increased institutional investment, expansion into emerging markets, continued cryptocurrency adoption, favorable regulatory frameworks, strategic alliances, and acquisitions are some of the factors contributing to the growth anticipated during the forecast period.
Additionally, improved security measures, technological advancements, blockchain technology, improved user experiences, and integration with decentralized finance (DeFi) platforms are some of the major trends expected during the forecast period.
Crypto ATM Growth Might Also Attract More Hacks: How Will Companies Handel That?
With the growth of crypto ATMs, one question that the market is constantly worried about is the risk of hacks and scams.
The crypto sector is quite vulnerable and prone to scams, hacks and rug pull activities. With the rise of crypto-ATMs across the globe, it is likely that scammers might be able to infiltrate systems easily.
However, another research by SkyQuest highlights that companies that make cryptocurrency ATMs are working hard to lower the risks associated with possible cyberattacks on these devices.
In particular, efforts in this direction are creating new prospects for market expansion. For example, the Cryptocurrency Compliance Corporative was established in August 2021 by bitcoin ATM operators from across the United States with the goal of enhancing compliance standards and ultimately preventing crimes related to cryptocurrencies.
The goal of the 15-member group is to create a safer environment for the cryptocurrency industry. In order to provide users with two levels of security when processing transactions, crypto ATMs are also incorporating biometric and facial recognition features. Additionally, crypto ATMs use time stamps and QR codes to help verify users’ identities.