In this episode of the “Nick and Jimmy” show, you will hear Maria and Michael from Instacoin talking about how they got into the Crypto ATM business and how they got to operating more than 100 Bitcoin ATMs all over Canada.
The first Michael was asked was if the cryptocurrency will take over the fiat currency. In his opinion that is the actual goal of cryptocurrency, adding that it is currently gaining more and more popularity even though it is fairly young (only 10 years). He thinks that crypto presents a great alternative to a fiat currency because it’s much faster to buy stuff online or if you want to do remittances it’s a lot cheaper. The most important thing is that it is not centralized, which means that there is no middleman who’s taking astronomic fees.
When asked about the security of cryptocurrency Michel claims that this is the safest way to handle money and payments as long as you keep your private key safe. He then explained why Bitcoin ATMs are much safer than the exchanges and it is because you don’t hold your private key when using exchanges. You have a public key where you deposit your crypto and if it gets hacked you will be losing all of your cryptocurrency. On the other hand, by using the Bitcoin ATMs you will store your cryptocurrency in your desired wallet and keep your private key for yourself preventing it from getting hacked.
Later on, Michael talked about the regulations. For their locations in Quebec, they need to be licensed by EMF, adding that they are the first ones to get that license. EMFs job is to make sure that what they do is legal so they do occasional audits for all of the Instacoin locations in Quebec. He claims that EMS is great to work with. In other provinces that is not the case. Out there you need to cooperate with FINTRAC and get the MSB License which they are yet to obtain.
Maria then explained how easy it is to use the Instacoin ATM. Firstly you can go to their site where they will advise you which wallet is best suited to your mobile device. After you download the wallet just go to the ATM and scan your QR code to complete the desired action, whether it is buying or selling.
The next discussion was about altcoins, where Michael talked about how he thinks that Bitcoin will always be the main cryptocurrency and there will be no altcoin that will surpass it. Even though there are some good altcoins that provide different functionalities none of them will achieve the greatness of Bitcoin in his opinion.
Maria then talked a bit about the competition they have in Canada, and what separates them from other Bitcoin ATM companies. She claims that it’s their fee percentage which is much better for the users compared to other Canada operators. That is why their clients are always coming back to them after trying out the competition.
Further on Michael was asked to compare the blockchain technology versus the banking system. He emphasized (de)centralization as the main difference between the two. The banking system is centralized where you have multiple parties involved in every money transfer which causes delays and higher fees. On the other hand, with blockchain, there is no middle man but you exchange currency on a peer to peer basis which takes a lot faster and has significantly lower fees.
To finish up, Maria explained how they keep in touch with their clients, saying that they are constantly keeping up with their social media – Instagram and Facebook. She also mentioned their next plan is to post educational videos on how to buy or to sell bitcoin on their ATMs in order to keep getting more and more people interested in cryptocurrency.
To summarize, The goal of cryptocurrency is to take over the fiat currency with its decentralized model. Bitcoin ATMs are the safest way to handle cryptocurrency. To handle your Bitcoin ATM business you will need to get licensed which is not a standardized procedure on a global level. If you want to operate a competitive Bitcoin ATM company the most important thing is to have a low fee while keeping your potential clients constantly educated and interested in crypto.