Before you set your sights on the closest Bitcoin Depot ATM (BTM), it’s a good idea to know the limits of the Bitcoin ATM. That's because these limits vary by operator, as do the levels of account verification. So today, we’re going to dive a bit deeper into the details of Bitcoin ATMs including why they exist, how they work, and what to expect.
Why Set Limits for Bitcoin ATM Levels?
Traditional banks set limits for security and practicality. Imagine pulling up to the ATM and trying to withdraw $5,000 in cash. You’re fighting a lot of variables like people in line behind you, watching you take out huge wads of cash. You’re also assuming the machine actually contains that much cash to dispense to you and others.
Now let’s pretend it’s a particularly blustery day outside. You punch in the numbers, and the ATM starts whirring to life. Click click chunk! Here comes your cash…and a huge gust of wind. You can imagine what happens next. The mechanism on the machine simply can’t grasp that much cash tightly enough to dispense it safely.
While BTMs work a bit differently, the principle is the same. These limits are there for your protection. They give you a safer, more secure experience. That's because you are potentially depositing large amounts of cash to convert to Bitcoin, some of our Bitcoin ATMs allow you to convert your Bitcoin back to cash for withdrawal and might be collecting some financial information that you wouldn’t want others to know.
Bottom line - these limits can benefit the consumer.
Bitcoin ATM Limits by Operator
We can’t speak for other operators, but here at Bitcoin Depot, we strive to provide the best security and support for our customers. That’s because we care about protecting your purchases. But that means it affects the amount you can purchase per transaction, and sometimes per day.
Minimum purchase amounts vary, but they’re typically around $20. Bitcoin Depot ATMs require a $20 minimum. The limits max out somewhere between $3,000 and $15,000 per day. Bitcoin Depot is proud to support a maximum purchase amount of up to $15,000, provided certain conditions are met.
Why Do Bitcoin ATMs Have Limits?
Many people still wonder why any limits are set at all for digital transactions. Rather than continuing to speak in general terms, let’s look at some of the specific reasons why these limits are in place.
Practicality
Just like the ATM at the bank, setting Bitcoin ATM withdrawal limits ensures that the Bitcoin ATM doesn’t run out of funds. This ensures that the machine is usable for many people and remains operational throughout the day without interruption. If one person withdraws all of the cash contained in the ATM, no one else can make a withdrawal until the machine is serviced. This promotes excellent customer service.
Security
This is of the utmost importance for Bitcoin ATM operation and client protection. If someone were to gain access to your key as part of a scam, the Bitcoin ATM limits ensure that they can’t drain your entire account before you can move your money or eliminate the risk.
Bitcoin ATM operators all have different security measures. Some larger companies, like Bitcoin Depot, have digital wallets linked to consumer accounts. The purchaser has to know the address of the wallet in order to use the Bitcoin ATM. Other companies use verification codes sent to your mobile device or require you to scan a QR code or driver’s license.
Compliance
Lastly, it is important for many Bitcoin ATM operators to comply with all applicable regulatory requirements[KE1][KE2]. Companies like Bitcoin Depot must comply with anti-money laundering regulations, and any Bitcoin ATM without certain verification procedures and identification protocols is unlikely to be in compliance with the law depending on the transaction amount. If they’re not complying with this regulation, it’s anyone’s guess what other regulations they’re not complying with, and that makes them unsafe to use.
Bitcoin Depot has implemented AML procedures at all Bitcoin ATMs. These AML procedures address the following:
- Creating internal controls to comply with the Bank Secrecy Act
- Training for personnel to understand their responsibilities under the AML program
- Designating a compliance officer to ensure daily compliance
- Conducting annual reviews or audits of the AML program
Not surprisingly, no Bitcoin ATM will be in operation very long if it can’t provide basic safety, trust, and convenience. Bitcoin Depot understands this and will always work for our clients to give the best experience possible, including customer support and seamless transactions.
Safe Limits to Buying
Using a Bitcoin Depot BTM to purchase your Bitcoin is one of the fastest, safest, and most convenient ways to put crypto in your wallet. The Bitcoin ATM limits we implement are for your safety and also help us comply with the law while providing great customer service.
Find the closest BTM to you on our website and hurry out to use a Bitcoin Depot Bitcoin ATM for your Bitcoin purchases today. You’ll always find a Bitcoin ATM you can trust with us!
FAQs
The standard Bitcoin ATM limit is $10,000, although some operators allow larger transactions when certain conditions are met. While some consumers are unhappy about these limits, they are put in place to protect consumers, ensure the ATM remains operational, and maintain regulatory compliance.
What information do you need for Bitcoin ATM? ›
Most crypto ATMs will need a phone number (at a minimum) to verify your identity, but some may require further verification, such as scanning a photo ID or entering your Social Security number. Scan your wallet. To buy Bitcoin or another cryptocurrency, you will need to scan your wallet address.
Can I send $10,000 through Bitcoin ATM? ›
Transaction Limits
Similar to both traditional bank auto-tellers as well as online crypto exchanges, Bitcoin ATMs exercise a daily transaction limit. According to Investopedia, this range typically spans from $10 to $10,000, but it depends on the operator.
How much cash can I withdraw from a Bitcoin ATM? ›
In the USA, you can generally withdraw up to $299 without undergoing KYC verification. You will have to undergo KYC identity verification for Bitcoin ATM withdrawal limits up to $125000. You might be able to withdraw more than this with an 'enhanced' KYC procedure, but this is rarely offered.
What is the daily limit for Bitcoin ATM? ›
This way, thieves can only withdraw so much money, which is easier for you–and the bank–to recoup. Bitcoin ATM withdrawal maximums tend to be $1,000 to $10,000. For Pelicoin Bitcoin ATMs, for example, the minimum for a Bitcoin transaction is $20, and the withdrawal maximum is $9,000 worth of Bitcoin per day.
Does Bitcoin ATM require SSN? ›
When you buy or sell bitcoin at an ATM, it will not be necessary to produce your SSN. Depending on the amount of the transaction, you may need to provide only your phone number, or you might need to supply your phone number and a photo ID.
Do Bitcoin ATMs require verification? ›
Typically, Bitcoin ATM operators will ask for a government-issued identification to set up your account. While many Bitcoin ATMs may ask for proof of identification while using the ATM, others only require you to provide a government-issued identification when you register for an account.
How do I increase my Bitcoin ATM limit? ›
Verify Your Identity: Cash App requires users to verify their identity to increase their Bitcoin withdrawal limit. You'll need to provide your full name, date of birth, and the last four digits of your Social Security number.
What are the requirements for Bitcoin? ›
Bitcoin investors need a cryptocurrency exchange account, personal identification documents if you are using a Know Your Client (KYC) platform, a secure connection to the internet, a method of payment, and a personal digital wallet outside the exchange account.
How much does Bitcoin ATM charge per $500? ›
Understanding Fees at Bitcoin ATMs: What Your $500 Can Get You. When you use a Bitcoin ATM to convert $500 into Bitcoin, the amount you receive in BTC will vary depending on the operator's fee rate: With a 10% fee, you would receive the equivalent of $450 in Bitcoin, after subtracting the fee from your $500.
Bitcoin ATMs are a way to get immediate access to cash using your bitcoins. Bitcoin ATMs do not operate like traditional ATMs. In order to make a cash withdrawal and sell your Bitcoin from the ATM, the machine provides a QR code to which you send your Bitcoin. You simply wait a couple of minutes and receive your cash.
How does a Bitcoin ATM work? ›
Once the amount of cash you want to exchange for Bitcoin is inserted into the ATM, you can enter your wallet's address or QR code into the machine. The cash will be exchanged for Bitcoin at the current market rate and sent to your digital wallet.
Do Bitcoin ATMs charge a fee? ›
Most Bitcoin ATMs charge a fee between 9% and 12% to buy Bitcoin. You might find fees as low as 4% and as high as 20%, though. By comparison, many online cryptocurrency exchanges will charge less than 1.5% on transactions in highly liquid currencies such as Bitcoin.
Is Bitcoin ATM easy to use? ›
Bitcoin ATMs offer a fairly simple way to buy bitcoin. First, you need to select the option to buy Bitcoin on the ATM screen. Then be prompted to enter your phone number and will be sent a 2FA code via SMS. After entering the code, you will be asked to scan your desired wallet destination via a QR code.
How much does Bitcoin ATM charge for $1000? ›
The fees can range anywhere from 5% to 15 % or even higher in some cases. To calculate the fee for a $1000 transaction, let's assume a fee of 10%. In this case, the fee would be $1000 * 10% = $100. Therefore, if the Bitcoin ATM has a 10% fee, you would receive $900 worth of Bitcoin for a $1000 cash transaction.
How can I use Bitcoin ATM without ID? ›
Step 1) Approach the Bitcoin ATM and scan your Bitcoin wallet's QR code. The bitcoins will be sent to this address. Occasionally, the ATM might issue a paper wallet instead. Step 2) The machine may request fingerprint scanning or another form of verification, depending on the ATM's make and model.
How do I set up a Bitcoin ATM? ›
Setting Up Your Bitcoin ATM Business
- Step 1: Crafting a Detailed Business Plan. Laying the Groundwork: ...
- Step 2: Securing Funding. Financing Your Venture: ...
- Step 3: Acquiring the Right Bitcoin ATMs. ...
- Step 4: Negotiating Host Locations. ...
- Step 5: Installation and Security Measures. ...
- Step 6: Marketing and Customer Support.
In order to protect their law-abiding customers, cryptocurrency ATM companies must put into place procedures that can help them prevent these crimes. For some companies or for some transaction amounts, this may involve requiring ID, and whether that involves a photo ID or some other method can vary.
