Bitcoin Boom: Walk-in Crypto Exchanges Spring Up

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Imagine you walking downtown on a bright day to exchange your digital assets in a store that replicates a mini-banking setup across a Vietnamese restaurant. That’s a walk-in crypto exchange!

Coin Nerds Inc. is bringing dynamism to crypto involvement. This firm is making it easy for individuals (or consumers) to engage crypto while bringing services that other financial service providers may not present their customers in the crypto space.

The store was established in 201, run by small numbers of diligent entrepreneurs who believe it is important to create an offline space for the virtual currency and establish its position on Main Street. With Coin Nerds’ stores, individuals from different backgrounds can now engage the crypto ecosystem without technical know-how.

Individuals can participate in the crypto market without offering expert help and eliminating technological barriers that some age may not handle. Adam Hack—CEO and Founder of Coin Nerds Inc.—assured that.

Physical Exchange’s Edges over Online Exchanges

The traditional crypto exchanges have almost the same operational model, but they tend to create an edge ahead of others. However, their fundamental stance is building a crypto store across the street where users can get crypto units in exchange for bank transfer, cash, or credit card swipe.

These stores are educating new customers about various available wallets and guiding them on wallet setup. Likewise, they exchange customers’ digital coins at the exchange counter for local currency. Meanwhile, the transaction fee for each order varies between 0.99% and 5%. These are a bit higher than online exchanges’ transaction fees.

Physical exchanges are enhancing the process of buying and selling cryptocurrency. Ordinarily, such transactions are conducted on online exchanges, but they can be stressful—despite being popular—when you have little knowledge about the crypto markets. Examples of such popular online exchanges include Binance Holdings Ltd. and Coinbase Global Inc. Hack mentioned that,

“We noticed there’s an attrition ratio with crypto, where people will onboard $500 or $1,000 into an exchange, but they don’t know what to do with it, or they’ll just simply say, ‘You know what, this is too complicated for me. I’m out.”

Coin Nerds provides a support service that makes users have frictionless experiences with crypto transactions or interactions with exchanges. This eliminates unnecessary headaches. Imagine grabbing your favorite shirt to have a walk down the street because you want to register a complaint regarding a crypto transaction. Wouldn’t you trust such exchanges more than others?

That is exactly what Coin Nerds is extending to its users. As a customer-service-based company, they will allow their customers to walk in and express their challenges instead of waiting for a late-to-respond customer support ticket which you filed with an online exchange.

Likewise, the existence of physical crypto exchanges increases the level of trust established in users. This gives them the belief to hold onto genuine hope while avoiding pitfalls in an unregulated digital currency space. Baptiste Lac—Comptoir des Cybermonniaes’ co-founder, argued along this line with his supportive statement.

Another privilege of transacting with a physical exchange is the financial security that stays with such an exchange. Investors can be ascertained that such an exchange is safe to take their money to. Mr. Lac mentioned that,

“When a newcomer arrives—especially a more traditional investor looking to buy with their broker—they can check Google to see we are safe, that we are licensed by French regulators, that they can spend the large amount that they might not feel safe spending online

As much as Coin Nerds and Comptoir des Cybermonniaes are physical exchanges, they have different operational models. One of them is cash payment acceptance. To prevent being caught in the money-laundering web, Comptoir does not take cash payments. But Bitcoin Store—a physical exchange in Croatia—makes cash acceptance its fundamental reason for being in the crypto business.

In Croatia, individuals do not have absolute trust in banks. They prefer holding onto their cash and digging their hands in their purses whenever they want to make a payment. AS such, Croatia can be regarded as a cash-heavy community. However, this didn’t stop a physical crypto exchange firm from extending the crypto space to Croatians.

This gives the firm an over-the-edge marketing exposure because Croatians now have access to an agency where they can ask questions regarding the crypto market. Remember that having little trust in the traditional banking system forces them to go around with their cash.

Digital Currency ATMs and El Salvador as a Case Study

Another development is digital currency ATMs that are available across the city. These ATMs allow users to conduct crypto transactions via cards or cash. There are about two hundred operational cryptocurrency ATMs across El Salvador. Meanwhile, El Salvador officially became the first country that accepts crypto as a national currency.

Meanwhile, there are about fifty Chivo branches distributed across El Salvador. Chivo is El Salvador’s official wallet brand.

Despite over twenty-four thousand virtual currency ATMs distributed around the U.S., the establishment of walk-in exchanges is low compared to the level of digital banking acceptance in the country. Likewise, individuals hardly trust financial institutions despite having undisturbed internet access and online exchanges.

What Should We Expect?

The pandemic made us witnessed a compulsory lockdown across the world. As such, stores closed in some cities while some opened with preventive measures. This affects business globally. However, walk-in crypto exchanges revealed that they recorded good yearly revenue due to the bitcoin surge after governments eased lockdowns.

Comptoir des Cybermonniaes reported that its annual transactions spiked by six times, and Coin Nerds plans to open a second store in Toronto as soon as next year begins. Mr. Hack said,

“We’re not going to have a digital revolution, for lack of a better term, without everybody participating in the ecosystem,” he said. “A lot of people are still grasping the concept and they still want to learn how to use it.”

Ridwan is a digital nomad. He is an experienced crypto writer that writes across blockchain and cryptocurrency topics. He buries his head in books' leaves, playing games and networking if he is not writing. He believes you will be happy if you appreciate the little things that matter while working for more.