The first cryptocurrency ATM machine has been installed in Uruguay, developed as a joint initiative between two national crypto companies, Urubit and Inbierto. This represents a milestone for the country, which is estimated to have between 40K and 50K cryptocurrency users, whose primary avenue for buying crypto depends on peer-to-peer markets.
Uruguay Enters the Crypto ATM Era
Uruguay has received its first cryptocurrency ATM in its region, already installed in Punta del Este, a city located in the southeast of the country. The Cryptocurrency Machine was developed by two national crypto companies: Urubit and Inbierto. The former focused on the software part of the system, and the latter provided the hardware for the ATM.
Inbierto CEO Adolfo Varela says that one of the purposes of this machine is to instill confidence in the cryptocurrency market in the country, where most crypto commerce takes place in peer-to-peer markets that cannot go through banking due to lack of regulations. With cryptocurrency ATMs, the chances of falling victim to a scam are said to be eliminated. Varela believes that they will continue to grow and expand their crypto ATM network across the country. He said:
We intend to continue growth in Maldonado, then Colonia, Montevideo and by the end of the year we want to have coverage throughout the national region. It has occurred to us with this that other countries have consulted us to be able to set it up.
The established crypto ATM supports only five cryptocurrencies (which include two national tokens): Ferret Token, Eurbit, Bitcoin, Binance Coin (BNB), and Binance USD (BUSD). The companies have not introduced Ethereum support for the machines as they rely on Binance Smart Chain (BSC) to process transactions. Varela explained that Ethereum fees would deter users from using the machine, and that is why the BSC integration was chosen instead.
Regulation a gray area in the country
Cryptocurrency regulation remains a gray area in the country, but the central bank issued a statement in October last year declaring that these assets are not legal or illegal, and that citizens can use them while they Know about your risks.
In a document released in December, the Central Bank of Uruguay established a roadmap for regulating crypto assets, proposing to review existing laws and make changes to incorporate them into various existing regulations, instead of using these assets. To enact a virtual property law involving the universe of. In just one project.
What do you think about the launch of the first crypto ATM in Uruguay? Tell us in the comments section below.
image credit: Shutterstock, Pixabay, WikiCommons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation or recommendation or endorsement of an offer to buy or sell any products, services, or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss alleged to be caused by or in connection with the use or reliance on any content, goods or services mentioned in this article.