The blockchain company deployed first ATM in Bangalore to trade crypto assets in INR to avoid the recent hurdles faced by the exchange in dealing crypto assets. Unocoin decided to open ATM is due to the ban on banks in dealing with companies or individuals that deal with cryptocurrencies.
“Therefore, we have come up with this solution to fill the gap caused by the central bank’s ban because right now cash-in and cash-out facility is not available,” Vishwanath said.
With the Kiosk, customers of Unocoin and Unodax can now deposit and withdraw funds limited to cash handling restriction in India.
The Cryptocurrency ATM differs from the traditional ATM, it doesn’t connect with any bank account, instead, they connected with cryptocurrency exchange platform’s that used to buy and sell the cryptocurrencies. As of now 3,908 bitcoin ATMs installed around the world, among that 74% in North America.
How the Cryptocurrency ATM Works
Users can deposit funds to their Unocoin/Unodax account by reaching the ATM by confirming their account details with OTP and the funds will be updated immediately to Unocoin account reads the blog post.
The deposited funds can be used on Unocoin to purchase cryptocurrencies like BTC or ETH or to BID with Unodax. The ATM is a stand-alone machine, the minimum amount to withdraw or deposit is 1000 INR.
To withdraw the crypto assets in INR users have to request Unocoin.com or through Unocoin mobile app and should specify the amount they need to withdraw and then a 12 digit reference number sent to the user, the user should visit the ATM and need to enter the reference number and OTP to withdraw money.
At present, the volume (of transactions) has become one-tenth of what it used to be (before the RBI crackdown). We believe that after we have deployed it in many other cities and it becomes popular then demand should come back,” said Vishwanath.