ATMIA Releases Research Paper on Bitcoin

The ATM Industry Association has announced the release of a commissioned research report into the digital currency BitCoin and what it might mean to the industry. The paper, written by Tremont Capital Group, one of the nation’s leading consulting firms specializing in the ATM industry, is called “An Introduction to BitCoin ATMs” and contains special reference to North America where the currency originated.

The comprehensive analysis, conducted by Sam M. Ditzion, a widely respected ATM industry expert, offers an overview of the history of BitCoin, how the currency works, recent controversies, the evolving regulatory landscape, and the expanding role of BitCoin ATMs.

“We’ve been asked as an industry body to comment on the significance of BitCoin and digital currencies to the ATM and cash industries,” Mike Lee, ATMIA’s CEO, said. “This paper is our first report of many which will enable us to draw some logical conclusions about how BitCoin will affect payments and regulations in future.”

BitCoin, which allows people to send and receive payments within an entirely decentralized peer-to-peer network, has quickly become the most prominent form of “digital currency” in the world. While still in its infancy, the deployment of BitCoin ATMs addresses some of the most significant challenges associated with exchanging cash for BitCoin in an easy, instant, safe and fully transparent way. Tremont Capital Group expects that a wide range of new BitCoin ATM manufacturers and deployers will emerge in 2014 and that the regulatory environment worldwide will continue to evolve.

“While many consider it a fringe currency,” Ditzion explained, “BitCoin – or another similar digital currency with extraordinarily low transaction costs that may emerge in the future – could have a significant impact on the global payments industry. If Bitcoin gains traction to become a more widely accepted alternative currency, Bitcoin ATMs could become one of the most convenient distribution channels available to consumers for exchanging Bitcoin from and into cash.”

The report is free to all ATMIA members and can be downloaded on the ATMIA website.