- Bitcoin ATMs are popping up all around the globe, with at least one in all major cities
- KYC is relatively lax on most Bitcoin ATMs, providing a quick and easy way for people that can’t pass KYCC to use Bitcoin
- Lax KYC could prove dangerous for Bitcoin ATM operators, but it could also be a blessing
Bitcoin ATMs are springing up all over the place, but not too many people are opting to use them. While it’s not as convenient to head to a Bitcoin ATM as it is to use a website or mobile app to purchase and sell Bitcoin, these magical ATMs do have a rather good use – no KYC is needed for small purchases or sales.
This is great news for all of you out there that cannot pass KYC due to age restrictions or lack of documents to prove you are who you say you are – think minors. So, head on down to your local Bitcoin ATM if you want to avoid pesky KYC and live your life off the grid.
No KYC on Small Trades
When you use a Bitcoin ATM, you’re essentially trading with the ATMs owner rather than another person like you would on an exchange. For this pleasure, you do tend to pay a premium that can run up to the dizzying heights of 15%. But, if this is your only way to get your hands on Bitcoin, or you simply want to avoid completing KYC and letting good old Uncle Sam know about your finances, it’s not a bad price to pay.
Due to the relatively low limits on most Bitcoin ATMs, it’s very easy to find an ATM that has no KYC in place. While some have a limit of a couple hundred dollars, there are thousands in the world that will let you exchange thousands of dollars to and from Bitcoin.
A Potential Hot Pot for Criminals
With everything that’s currently going on in the world, you would be forgiven for wanting to take back control of your privacy and avoiding KYC. But there are criminals out there that will happily use this network of ATMs for nefarious purposes. Without KYC, criminals can wash and launder money through crypto quite easily and remain undetected.
The lack of KYC is a double-edged sword, but the positive benefits definitely outweigh the negative in this case. There will always be criminals out there looking to exploit the system, but there are more genuine use cases for lax KYC on Bitcoin ATMs than criminal use cases.
Go Check Out Your Nearest Bitcoin ATM
Governments are pushing for Bitcoin ATM regulations, but so far, the progress has been rather slow. There are thousands dotted around the world, so go check out your nearest one and get some Bitcoin on the lowdown!