Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
It’s generally with great excitement that a bitcoin ATM launches in new frontiers, but a New Zealand bitcoin ATM operator has announced they’re shutting down operations due to interference with banks.
Bitcoin Central — self-labeled as ‘NZ’s bitcoin ATM provider’ — published a statement on their official website declaring their operations were “now closed,” pointing the finger almost instantly by stating, “Its [sic] the banks.”
Specifically, it would appear as if the operator is unable to secure a banking partner — an issue many bitcoin start-ups have been dealing with.
The statement in full:
[blockquote style=”2″]Unfortunately, despite complying with all the legal requirements we have been unable to secure banking facilities. Without these the Bitcoin ATM business cannot operate long term. The negativity from the banking sector to Bitcoin also threatens the ATM owner’s other businesses. For me it is prudent to shut the ATM down. If you have any interest in purchasing a second-hand bitcoin ATM with compliance documents. Please get in touch.[/blockquote]
The company only operated one bitcoin ATM, having launched it just over a month ago on June 3rd at the Ironbar Cafe in Auckland.
The machine was manufactured by Las Vegas-based Robocoin, allowing for the possibility of both purchasing bitcoin and selling bitcoin.
The company has noted they are registered as a Financial Services Provider, and the ATM did “everything we need to make sure that we comply with NZ laws on its use,” but that apparently wasn’t enough to secure a banking partner.
Alas, such is the story in many different parts of the world, but we’ll just have to see what happens here. Who knows? If they don’t sell the second-hand ATM, perhaps they’ll reconsider re-establishing its presence in the near future?
Share your thoughts.
