• Colombia is experiencing a surge in the number of cryptocurrency ATMs

  • While Colombia has not embraced cryptocurrencies as much as Venezuela or some African countries, it does have the second most cryptocurrency ATMs in the Latam region. The reason for this could be that Colombia has a high percentage of people who use cash. As a result, cryptocurrency ATMs are a critical tool for increasing adoption in the country.

    Colombia is a cryptocurrency ATM haven.

    Colombia is currently experiencing a cryptocurrency ATM boom, as the country has the second-highest number of these ATMs in the region. Columbia was first until recently, when El Salvador made a bitcoin bet and declared the leading cryptocurrency legal tender. There are currently 50 cryptocurrency ATMs in Colombia, but the reasons for this surge are unclear to some.

    Colombia has not been known for its cryptocurrency adoption, and its government involvement with cryptocurrencies has been limited to a regulatory sandbox that exchanges run in collaboration with banks. However, it appears that cryptocurrency ATM companies are becoming more interested in offering their services there. This could be due to the country’s proximity to Venezuela and the active commercial exchange that occurs between the two.

    Alejandro Beltrán, CEO of Buda, a Latam-based exchange, commented on this:

    Colombia remains an important crypto transactional hub, and with Venezuela in the top three of the global adoption index, the border position makes ATM systems viable alternatives for consumers.

    Explanations and Numbers

    The cryptocurrency ATMs are mostly concentrated in the country’s capital, Bogota, where there are 29. Six are in Medelln, three in Bucaramanga and three in Pereira, with the remaining ones scattered throughout the city. This clearly shows that the majority of crypto ATMs are concentrated in urban areas, away from borders. This appears to rule out inter-country transactionality as a major driving force behind the ATM push. Beltran, on the other hand, has a different theory about this boom.

    Colombia is one of the leading countries in the region for cash use, and these ATMs assist customers in managing and transacting funds that would otherwise be impossible to use efficiently due to the country’s banking sector’s current limitations. Beltran concluded by saying:

    We believe that this will be one of the sector’s most significant contributions to ensuring that the ecosystem continues to grow vertically.

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