Canadian cryptocurrency trading platform-Coinsquare- has acquired a controlling stake in fintech software producer Just Cash. The acquisition will qualify Coinsquare to initiate crypto transactions on traditional, non-bank ATMs in the US. Just Cash developed a technology that allows ATMs to sell cryptocurrencies via a customer’s debit card without having to upgrade the machine’s hardware, or the use of any additional hardware. Cole Diamond -Coinsquare CEO- established that the technology is even now being introduced to some ATM machines, a process, which according to him will be on until the end of next year.
There are nearly Two hundred and fifty thousand non-bank ATMs that have the potential to be upgraded with this feature. Diamond revealed that by teaming up with two of the three major producers of non-bank automated teller machines – Nautilus Hyosung, Triton, and Genmega, though he was unable to disclose which ones –Coinsquare envisages to integrate with approximately one hundred and seventy thousand machines across nearly all fifty states. Diamond is positive that Coinsquare will outnumber the total number bitcoin ATMs within a year.
Buy Cryptocurrency With Debit Card
Although the head of business development at Coinsquare- Kalman Gabriel- did not reveal major details of the deal in an interview, he said that the company put in as much as “eight figures” in the deal, He also added that the service functions in the same way as any other debit card transaction. Describing the service, he added that when the consumer inserts their debit card into the ATM, they will be provided with the options of withdrawing cash or purchasing one of quite a lot of cryptocurrencies (bitcoin cash, ether, dash, litecoin, stellar, ripple, doge, among others), together with bitcoin. If the transaction is approved, the ATM prints out a receipt with a public key, a private key, and a QR code. According to Gabriel, the process has been made as easy as possible.
Helping To Introduce Cryptocurrencies
Coinsquare’s projection for the future includes a complete US expansion in 2020, with the ATMs serving as an entry point. Just Cash’s software will ride on the regulatory efforts Coinsquare has pulled through in anticipation of this projected expansion. Diamond is hopeful that the ATMs will function as an effective springboard for the newbies in the crypto sphere. He revealed that presently, there is the absence of conventional cryptocurrency acceptance because most people are intimidated by the process to acquire it. He also added that this feature will bridge the gap between established banking and the crypto industry, even if he does not expect to integrate the software with bank partners soon.
According to Diamond, there is a need to believe that banks want to use this technology, although banks have been reluctant to get involved in anything crypto. He revealed that adding bank ATMs require the development of additional software upgrades, as each entity runs proprietary software. Coinsquare has a sponsor bank, which is vital to carrying out transactions on the ATM rails. The company said it has also registered with FinCEN in the U.S. as a money services business. The service only allows crypto purchases up to $1,000 per day, and customer identity checks are done through the users’ debit card.