The Salvadoran government installed more than 200 ATMs in September after adopting Bitcoin as legal tender.
Many installations after new law
El Salvador now has the third largest network of cryptocurrency ATMs after the United States and Canada. In fact, the number accounts for 70% of all vending machines in South America.
According to data from Coin ATM Radar, El Salvador has surpassed the number of cryptocurrency ATMs in the United Kingdom. It has deployed 205 cryptocurrency ATMs so far to facilitate local Bitcoin transactions and BTC/USD conversions.
If you compare this with data from August 16, it becomes clear that El Salvador has installed 201 ATMs in just one month. Previously, the country ranked 43rd on the list, with only four functional vending machines.
President Nayib Bukele has previously stated that Bitcoin adoption would initially be supported by a network of 200 ATMs and 50 branches. The Salvadoran government has partnered with an internal cryptocurrency wallet provider called Chivo. This allowed them to power BTC wallets and the use of ATMs in the country.
Record high of crypto ATMs
Crypto ATM installations have reached an all-time high around the world. There are now 27,664 active machines and another 2,790 new machines will be added in September. The increase in installation in El Salvador is in line with the recent presidential order requiring all businesses to accept payments in Bitcoin. However, the merchants retain the option to convert Bitcoin payments to USD before withdrawing.
While other jurisdictions have yet to decide on Bitcoin’s use case as a mainstream asset, an average of 63.7 ATMs are still installed worldwide every day. Genesis coin continues to be a leading crypto ATM manufacturer with a 40.7% market share. General Bytes and BitAccess represent 22.7% and 12.7% of the market respectively.
The adoption of Bitcoin in El Salvador has encountered some resistance from the locals. This recently led to the burning of a Chivo-backed Bitcoin machine. Those protesting Bitcoin’s adoption emphasized their concerns about uncertainty, price volatility and lack of exposure to the crypto market.
The Chivo kiosk is the government’s first attempt to create an infrastructure for BTC and US dollar conversions. Currently, El Salvador uses both Bitcoin and the US dollar as legal tender.