Bitcoin ATMs have become a convenient option for buying and selling bitcoin without relying on online exchanges. These machines work similarly to traditional ATMs but instead of linking to your bank account, they allow you to buy bitcoin using cash or a debit card. Some also support selling bitcoin in exchange for cash.

This guide explains how to use a Bitcoin ATM, from preparation to final transaction.

What is a Bitcoin ATM?

A Bitcoin ATM is a physical kiosk that allows users to purchase bitcoin using cash or a debit card. Many also support the sale of bitcoin for cash. These machines are typically located in accessible public spaces like malls, gas stations, and retail stores.

The main advantage of using a Bitcoin ATM is the ability to complete transactions quickly and without the need to create an account on an exchange.

How to Use Bitcoin ATMs: Step-by-Step Guide

1. Find a Bitcoin ATM Near You

Before using a Bitcoin ATM, you need to find one close to your location. Websites such as CoinATMRadar provide an interactive map of Bitcoin ATMs worldwide. Enter your city or zip code to view nearby machines, along with their features such as buy/sell capabilities and fees.

2. Set Up Your Bitcoin Wallet

You will need a Bitcoin wallet to receive or send bitcoin. Wallets can be mobile apps, desktop software, or hardware devices. If you don’t have a wallet yet, you can install a mobile wallet like Cash App (US only), Wallet of Satoshi, or Phoenix. On-chain wallets like BlueWallet and Electrum are also popular.

Before going to the ATM, make sure you have your wallet’s QR code ready. This code represents your Bitcoin address where funds will be received.

Related: How to Send Bitcoin to Another Wallet

3. Buying Bitcoin at a Bitcoin ATM

After locating an ATM and preparing your wallet, you can proceed with your purchase:

  • Enter the amount of bitcoin you wish to buy. You can usually select the amount in either BTC or your local currency. Be aware of the machine’s limits.
  • Scan your wallet’s QR code using the ATM’s scanner. This directs the bitcoin to your wallet address.
  • Insert the required amount of cash or use a debit card, depending on the ATM’s capabilities. The machine will calculate how much bitcoin you’ll receive based on the current rate.
  • Review the transaction details on-screen and confirm if everything is correct. Bitcoin will be sent to your wallet once the transaction processes, which may take a few minutes depending on network traffic.
  • Take the receipt if one is provided. It can serve as proof of your transaction.

4. Selling Bitcoin at a Bitcoin ATM

Some Bitcoin ATMs support selling bitcoin. The process involves a few additional steps:

  • Select the “Sell Bitcoin” option on the ATM screen.
  • Enter the amount you want to sell.
  • The ATM will display a QR code representing its receiving address. Use your wallet to send bitcoin to this address.
  • Wait for the transaction to confirm on the blockchain. Once confirmed, the machine will dispense cash. Some machines may require multiple confirmations before issuing funds.

5. Fees and Limits

Bitcoin ATMs typically charge fees ranging from 3% to 12% depending on the machine and location. These fees are higher than those on most online exchanges but offer the benefit of speed and convenience.

Machines often have minimum and maximum transaction limits. Be sure to review these before you start, especially if you plan to transact large amounts of bitcoin.

Final Thoughts

Bitcoin ATMs provide a fast and accessible way to buy or sell bitcoin. While the fees may be higher than other methods, they’re ideal for users looking to make quick transactions without setting up an online account.

By following the steps in this guide, you can use a Bitcoin ATM with confidence, whether you’re purchasing bitcoin for the first time or cashing out some of your holdings.