Praxata partnered with Cash2Bitcoin, one of the largest Bitcoin ATM providers in the United States, to publish a white paper examining the relationship between the performance of Bitcoin and the increased popularity of Bitcoin ATMs. Throughout the COVID-19 pandemic, Bitcoin’s value has drastically increased by 554% since the beginning of 2020 and by 352% YoY. These are far beyond those of the stock market and most any other asset class. In turn, this has led many investors to gravitate toward Bitcoin as a form of investment, further fueling price rises through a positive feedback loop. As the below figure highlights, while some individuals acquire Bitcoin via exchanges, many have opted to use physical ATMs, which take in cash and transfer Bitcoin to digital wallets.

This report discusses how popular Bitcoin ATMs have become, the role of Bitcoin ATM providers—such as Cash2Bitcoin—and profit examples from individuals who may have invested in Bitcoin throughout the pandemic.

Weekly number of transactions at Cash2Bitcoin locations and weekly average price of Bitcoin