The Number of Bitcoin ATMs In Russia Moscow Is Rising

Crypto ATMs are all over the place in Russia, despite the obvious lack of regulation. The demand for the service is expanding since it offers easy access to cryptocurrency. Even if the conversion rates are not the best, the service is still necessary. 

Crypto ATMs Are All Over Russia Despite the Absence of Regulations

The subject was discussed in considerable detail by the Russian business newspaper Kommersant. According to the publication, increasing gadgets are offering automated teller services for digital assets. 

The publication claims that this is taking place as interest in cryptocurrencies increases. Several hundred bitcoin ATMs (BATMs) are active countrywide despite hazy laws.

Moscow has the most recent installations. According to the publication, this year saw the emergence of 14 new “cryptomats” in the nation’s capital. 

According to Rusbit, this has brought the overall to 52 across the Russian Federation. It is considered low for Russia’s population and size, but Rusbit predicts an increase in 2023.

Most BATMs let users purchase coins with cash or a credit card and then transfer them to a cryptocurrency wallet. Even though Russian ATMs do not allow cash withdrawals, some facilitate trading bitcoin for currency.

ATMs are sold and maintained by Rusbit for $1,800 to $3,600 and 1% of sales. According to the company, the “On Digital Financial Assets” legislation from January 2018 permits its functioning.

The devices identify customers’ crypto addresses similarly to cash registers. In addition, the devices share information with the Federal Tax Service as well.

According to legal experts contacted by the publication, regulations for bitcoin ATMs are still “in the unclear zone.” Only a portion of cryptocurrency-related operations was within the DFA legislation’s partial jurisdiction. 

The “On Digital Currency” law has not yet been taken up by and approved by the Russian government.

Exchanges of digital currencies for fiat or other cryptocurrencies are neither expressly forbidden nor explicitly permitted. Ksenia Petrovets, a senior attorney at Birch Legal, claims this. Digital currency exchanges are not governed by existing law, according to Petrovets.

The Necessities of The Crypto ATMs And the Advantages It Brings

The interactions between cryptocurrency sellers and buyers using BATMs are unknown, claims Alexander Sharapov. Lawyer for the KSK Group, Sharapov. Partner at AT Legal Pavel Ganin stressed that no method for defending consumer rights exists.

Sergey Mendeleev is concerned that the police might seize the fresh bitcoin ATMs like they did Bbfpro’s. The CEO of the DeFi banking network, Indefibank, is Mendeleev. In 2018, 22 business computers were seized by law enforcement at the Central Bank of Russia’s request.

Berezka DAO’s co-founder, Roman Kaufman, offered his thoughts on the problems. According to Kaufman, this kind of service is needed since it’s tough for regular Russians to locate pennies. 

Russians need to be able to recognize peer-to-peer interactions at this precise moment. They must also complete KYC procedures and open accounts on English-speaking sites.

The main drawback of BATM firms is that they often charge 10–15% more than internet exchangers in Russia. 

Customers who want to learn more about cryptocurrency may use teller machines to make far smaller purchases than they would on trading websites.