Cardtronics, one of the largest ATM companies in the world, has stated in its latest 10-K annual report that cryptocurrencies could impact its business.
According to its US Securities and Exchange Commission (SEC) filing, new payment technology, such as Venmo, Zelle and cryptocurrencies such as bitcoin or other new payment method preferences by consumers, could reduce the general population’s need or demand for cash and could negatively impact the company’s transaction volumes in the future.
The company said these new payment methods could result in a reduced usage of ATMs. It added that changes in consumer preferences and usage behavior could reduce the need for cash and have a material adverse impact on its operations and cash flows.
The news came after a list of US major banks have labeled cryptocurrencies a threat to their business. The list includes JPMorgan Chase, Goldman Sachs, Square and Bank of America.
The move away from cash seems expected, since cash is already fading away as a payment method in many countries. In October 2017, Sweden announced that it plans to become an entirely cashless economy. Out of the total 1600 bank branches in the country, 900 of them do not accept cash deposits.
In a research published in December 2017, Australia’s central bank said that while the number of ATMs in the country remains close to all-time highs, the use of ATMs has been falling for a number of years. The central bank said the decline in ATM withdrawals primarily reflects a fall in the use of cash for transactions, with consumers increasingly opting to use electronic payment methods, particularly payment cards.
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