Crypto: Crypto ATM operator shares up 12%

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Recently, shares of Bitcoin Depot, a Crypto ATM operator, rose 12% in its stock market debut.

At the end of the day on Monday, shares of BTM closed at $3.61, showing an increase of almost 12% compared to the closing price of GSRM on Friday.

See full details below.

Bitcoin Depot, the first publicly traded crypto ATM operator in the United States

As expected, Bitcoin Depot, the world’s largest crypto-ATM operator, jumped nearly 12% in its Nasdaq debut on Monday after completing a merger with special purpose acquisition company (SPAC) GSR ​​​​II Meteora (GSRM) valued at $885 million in August.

Bitcoin Depot is based in Atlanta, Georgia, and its shares, branded “BTM,” are the first from a crypto-ATM operator to list on a major US stock exchange.

The trading day was marked by intense stock market movements. Prior to the market open, the stock price had hit $6.60 pre-market, falling back to $3.39, marking a 5% increase from Friday’s level.

By the end of the day, shares of BTM closed at $3.61, posting an increase of nearly 12% from GSRM’s closing price on Friday.

As a reminder, crypto-ATMs allow users to buy cryptocurrencies with cash or debit cards, directly linking the tokens to a specific wallet without having to go through a cryptocurrency exchange platform.

However, it is important to note that these ATMs have also been used by scammers, who offer goods for sale on sites such as eBay or Craigslist and ask buyers to make payment by depositing cash. in a crypto-ATM.

Bitcoin Depot and the Consolidation Strategy

According to data from Coin ATM Radar, Bitcoin Depot operates more than 6,000 ATMs, representing approximately 20% of all ATMs in the United States and a global share of 17.6%.

Bitcoin Depot CEO Brandon Mintz pointed out that the crypto-ATM market is still “very fragmented.” Therefore, the company is now focusing its efforts on the industry consolidation strategy, as told to CoinDesk:

“There are a few dozen operators with over 100 bitcoin ATMs in the United States alone, and there hasn’t been a lot of M&A activity in that space compared to other parts of the world. cryptocurrency and blockchain industry. Moving up this highly fragmented market is a really exciting opportunity for us.

Finally, it is worth mentioning that over the past two years, Bitcoin Depot has installed crypto-ATMs in over 2,000 Circle K convenience stores. Now, the company plans to enter into similar installation agreements with others” branded retailers” and some smaller regional chains, as confirmed by Mintz.

ATM and QR scams: what are they and how do they work?

This isn’t the first time the FBI has reported an increase in fraud cases involving automated teller machines (ATMs) and QR codes to facilitate payments.

In fact, according to the agency, fraudsters are trying to trick victims into using physical crypto-ATMs and QR codes to make payment transactions.

Specifically, in these cases, scammers ask victims to make payments and then order them to withdraw money from their financial accounts, such as investment or retirement accounts.

The FBI warns that scammers provide a QR code associated with their cryptocurrency wallet, which the victim can use during the transaction.

Next, the scammer guides the victim to a physical crypto-ATM, where they must enter cash, purchase cryptocurrency, and use the provided QR code to automatically send the funds to the recipient’s address.

Often the scammer maintains constant online communication with the victim and provides detailed instructions until payment is made, the FBI warns.

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