In a recent crackdown against unregistered cryptocurrency ATMs, Germany’s Federal Financial Supervisory Authority (BaFin) seized 13 machines spread across 35 outlets, taking about 25 million euros ($28 million) in cash. This was done because of failure to observe the anti-money laundering laws with ATM operators allegedly conducting their business without compliance with Section 32 of the Banking Act permits. The action was in collaboration with the help of the Federal Criminal Police Office and Germany’s central bank, the Bundesbank.
Also Read: German Government Continues Bitcoin Sell-Off Despite Legislative Pushback
Surge in Crypto ATMs Despite Regulatory Challenges
BaFin argued that the ATM operators had illegally installed these machines, violating established regulatory norms. The operation is part of an extensive campaign by the Bundesbank to guarantee that all activities involving cryptocurrencies in Germany meet the legal requirements of the financial legislation.
However, so many regulatory challenges press on the probability of expansion. Still, the count of crypto ATMs in the density of the global population is higher in the current year than in the previous one. According to Coin ATM Radar, there has been a 17.8% surge in the number of crypto ATMs worldwide, bringing the total to 38,279.
Advertisement
As we learned from sources like Coin ATM Radar previously, the proliferation of crypto ATMs seems to have lessened. The data showed that kiosks dropped by 14.56% in 2023, with 5,730 machines deactivated. This caused the total number of crypto ATMs to fall from 39,350 to 33,620.
However, the trend reversed in the year 2024, when more than 2,500 new machines were reported to have been installed. However, due to the market’s bearish nature, the company calls for removing 334 ATMs and another 400 before August 1.
Conclusion
Only in the first weeks of August did the number of crypto ATMs increase again with the installation of 226 more machines worldwide. Government crackdowns such as the one seen in Germany show that there are still problems in the sector. Still, the overall impression has been of a continued expansion of the geographical coverage of crypto ATMs globally.
Also Read: XRP is Ready to Hit $0.60 Mark When the Market Environment Is Strong
Maxwell Mutuma
Maxwell is a crypto-economic analyst and Blockchain enthusiast, passionate about helping people understand the potential of decentralized technology. He writes extensively on topics such as blockchain, cryptocurrency, tokens, and more for top publications such as Coingape, Coin Edition, and The Coin Republic. His goal is to spread knowledge about this revolutionary technology and its implications for economic freedom and social good.