vestwell vestwell vestwell
  • About
  • Contact
  • Testimonials
  • More
    • Demographics & Advertising Rates
    • Terms & Conditions
Saturday, May 21, 2022
No Result
View All Result
CALIFORNIA BUSINESS JOURNAL
  • Front Page
  • Business
  • Finance
  • People
  • Featured
  • Technology
  • Law
  • News
  • Food
  • Art & Culture
  • Human Interest
  • Education
  • Insurance
  • Real Estate
  • Health & Fitness
CALIFORNIA BUSINESS JOURNAL
bitcoin depot atm crop

The New Bitcoin ATM King of Los Angeles

Brandon Mintz began researching bitcoin as a student at The University of Georgia. After breaking into the Los Angeles market, he now has 250 Bitcoin ATM machines across the U.S. with plans to be at 1,000 by 2020.

by Chris Casacchia, Senior Writer, California Business Journal
A A
Share on FacebookShare on Twitter

A 25-year-old entrepreneur from Atlanta is aiming to become the bitcoin ATM king of Los Angeles, the largest market for buying and selling the much-hyped digital currency.

“I would like to get at least 25% of the L.A. market share as soon as possible,” says Brandon Mintz, who launched Bitcoin Depot in 2016.

The startup’s recent expansion to Los Angeles has boosted its local ATM count to 35, a strong foundation considering it entered Southern California about a year ago in its first move to the West, yet it is still short of Mintz’s targeted goal.

Brandon Mintz began researching bitcoin as a student at The University of Georgia. After breaking into the Los Angeles market, he now has 250 Bitcoin ATM machines across the U.S. with plans to be at 1,000 by 2020.
Brandon Mintz began researching bitcoin as a student at The University of Georgia. After breaking into the Los Angeles market, he now has 250 Bitcoin ATM machines across the U.S. with plans to be at 1,000 by 2020.

The sprawling marketplace, which encompasses nearly 5,000 square miles in Los Angeles and Orange counties, has more than 430 bitcoin ATMs, according coinatmradar.com. That puts Bitcoin Depot’s market share at about 8% in greater Los Angeles, a major focus of growth for Mintz.

“The L.A. ATM bitcoin market is red hot,” he says.

Keeping pace with other large operators and a slew of newcomers trying to capitalize on bitcoin’s volatile value is challenging, but Mintz has positioned Bitcoin Depot for the long haul. The company has grown its Bitcoin ATM network to more than 250 in 19 states. By the end of the year, the machine operator will have more 400 and more than 1,000 by the end of 2020.

“We look at the highest populated cities in the U.S.,” Mintz says.

The University of Georgia graduate installed his first four bitcoin ATMs in Atlanta three years ago when bitcoin was trading between $625 and $675. The decentralized cryptocurrency crossed the $10,000 milestone in late June, hitting a 52-week high of $13,826.76 on June 26. It’s down about 24% since then, trading around $10,500 as of press time, with a market cap of $188 billion.

Mintz found it more difficult to convince those first four businesses to install his bitcoin ATMs because of the lack of knowledge of what bitcoin was at the time in 2016. Since then, bitcoin has become a household name.

Mintz’s early sales pitches were often met with doubt and uncertainty from convenience store, gas station, smoke shop and liquor store owners. He likened the system to PayPal without foreign currency exchange fees, concepts understood by shop owners who transmit money to family and friends in different countries.

Mintz talked up the benefits of hosting the ATMs, such as advertising their location in listings, directories, the company’s website, search engines and social media platforms. The conversations quickly turned to the financial benefits for shop owners, who receive $200 per month to house a bitcoin ATM.

.Mintz spent more than $35,000 on the initial ATMs, which included upgraded hardware and preloaded software. The machines also have to be stocked with at least $10,000 in cash for transactions. Compliance and legal expenses can easily raise the initial investment to $250,000 or more in the first year of operations.

By the end of 2016, Mintz had sold and installed 50 bitcoin ATMs, expanding beyond Atlanta into Boston, Dallas/Fort Worth and Birmingham, Ala. “It’s similar to the business model of a cash ATM company except there is a lot more technical, legal, compliance, and advertising knowledge needed.”

Mintz targeted businesses with ample parking, long operating hours and those with ATMs, trying to reach an underserved demographic. “Crypto is very appealing for the underbanked population in the U.S.,” he says.

A 2017 survey by the Federal Deposit Insurance Corp. estimated that 25% of U.S. households are unbanked or underbanked — lacking a bank account outright or forced to use alternative financial services such as payday loans, money orders and check cashers.

“They can’t buy bitcoin online because they don’t have established credit history and they don’t have these financial accounts,” says Mintz, who estimates half to three quarters of the company’s nearly 100,000 customers are underbanked.

About two-thirds of Bitcoin Depot’s customers are millennials. The business model is similar to a traditional currency exchange, which marks up the exchange rate to generate revenue. The company aims to cross the 1 million transaction milestone by the end of next year.

Bitcoin Depot customers can purchase as little as $20 in bitcoins daily and as much as $5,000. The average transaction is between $100 and $200, according to Mintz, who began researching bitcoin in college.

He established Cash to Crypto in Atlanta in 2013, essentially buying bitcoin from exchanges around the world and selling it at a markup through peer-to-peer websites. The workload became overbearing.

“People all over the country would contact me for trades at any time of the day,” says Mintz, who started to invest in the stock market at 15. “I couldn’t keep up with the amount of volume.” So he cashed out that business and entered the ATM market.

“Of course,” he adds, “you had to establish a retail footprint nationwide.”

Bitcoin Depot plans to raise its first funding round next year to expand its network across the country and potentially internationally as more companies accept the digital currency.
Bitcoin Depot plans to raise its first funding round next year to expand its network across the country and potentially internationally as more companies accept the digital currency.

Bitcoin Depot in well on its way, with plans to raise its first funding round next year to expand its network across the country and potentially internationally as more companies accept the digital currency, joining the likes of Whole Foods and Starbucks.

Facebook, the world’s largest social network, announced plans in June to launch its own digital currency Libra, boosting awareness in mainstream circles and caution in economic ones.

“We’re planning to continue to make these acquisitions.”

ADVERTISEMENT

Copyright © 2020 California Business Journal. All Rights Reserved.

This article was edited and published by Rick Weinberg, California Business Journal’s Founder and Editor-in-Chief. Click here for Rick Weinberg’s biography.

TO READ THE MAGAZINE VERSION OF THIS ARTICLE, click here.

Related Posts

download
Bitcoin ATMs On The Rise
bitcoin-gambling-laptop
Bitcoin Casino 2021: Advantages of Crypto Entertainment
Hollywood-and-bitcoin
Bitcoin Usage In The Movie Industry
blockchain2
Blockchain.com Value Reaches $5.2 Billion
coins
Can Blockchain Technology Disrupt and Reshape the Gambling Industry?
nasdaq-stock-wall
Can You Teach Yourself to Trade?
Bitcoin
Choosing the Right Cryptocurrency
Crypto-Engine
Crypto Trading: How to Make Money on Bitcoin
Ethereum
Cryptocurrency Corner: So What Exactly Is Ethereum?
Bitcoin and government
Five Reasons Why The Government Does Not Like Bitcoin
cryptocurrency
How Does Crypto Trading Work and Where to Trade It Securely?
Crypto Ecosystem Affects Business Environment3
How The Crypto Ecosystem Affects the Business Environment
bitcoin
How to buy virtual currencies
Is Investing In Crypto Worth It and How to Make Wise Choices for Trading?
Is Investing In Crypto Worth It and How to Make Wise Choices for Trading?
Golden Bitcoins Coins and dollar bills
Is It the Right Time to Invest in Crypto?
life-storage-collectible-items-9
Is the Future of Collectibles Digital?
Bitcoin_15
THE CHANGES AFFECTING BITCOIN'S GROWTH
feat
THE DIVERSIFICATION OF DIGITAL ASSETS
Use 1 crop
The Continuing Transformation of the Cryptocurrency Market
Importance Of Risk Management For A Bitcoin Trading Account
The Importance Of Risk Management For A Trading Account
Satoshi Nakamoto
The Original Bitcoin Protocol: What is It and Why Does It Matter?
bitcoin of america
The power of Bitcoin of America intensifies
Wall Street
Wall Street vs. London's Canary Wharf
currency-3341500_1280
Why Are Bitcoin ATMs Expanding So Rapidly?
bitcoin-depot

 

 

Tags: advertisingATMBitcoinBitcoin ATMsBitcoin DepotBrandon MintzCaliforniacollegecomplianceconveniencecryptocryptocurrencyDallasentrepreneurfinancial servicesfocusfundinghostinginsuranceinvestmentloanslocalLos AngelesmarketplacepeerSocial MediaSouthern CaliforniaStartupstock marketThe Exchangetrading
ADVERTISEMENT
Chris Casacchia, Senior Writer, California Business Journal

Chris Casacchia, Senior Writer, California Business Journal

Chris Casacchia covers U.S. and global equity markets, finance, startups, venture capital, private equity, aerospace and SEC disclosures. A graduate of Arizona State University, Chris was Technology Editor for the Orange County Business Journal before joining California Business Journal as Senior Writer. He is also a Media Consultant.

Related Posts

Importance Of Risk Management For A Bitcoin Trading Account
The Importance Of Risk Management For A Trading Account
Ethereum
Cryptocurrency Corner: So What Exactly Is Ethereum?
Satoshi Nakamoto
The Original Bitcoin Protocol: What is It and Why Does It Matter?
Bitcoin
Choosing the Right Cryptocurrency
Crypto-Engine
Crypto Trading: How to Make Money on Bitcoin
cryptocurrency
How Does Crypto Trading Work and Where to Trade It Securely?
Is Investing In Crypto Worth It and How to Make Wise Choices for Trading?
Is Investing In Crypto Worth It and How to Make Wise Choices for Trading?
bitcoin-gambling-laptop
Bitcoin Casino 2021: Advantages of Crypto Entertainment
Wall Street
Wall Street vs. London's Canary Wharf
Hollywood-and-bitcoin
Bitcoin Usage In The Movie Industry
Crypto Ecosystem Affects Business Environment3
How The Crypto Ecosystem Affects the Business Environment
nasdaq-stock-wall
Can You Teach Yourself to Trade?
blockchain2
Blockchain.com Value Reaches $5.2 Billion
bitcoin of america
The power of Bitcoin of America intensifies
currency-3341500_1280
Why Are Bitcoin ATMs Expanding So Rapidly?
Bitcoin and government
Five Reasons Why The Government Does Not Like Bitcoin
coins
Can Blockchain Technology Disrupt and Reshape the Gambling Industry?
Golden Bitcoins Coins and dollar bills
Is It the Right Time to Invest in Crypto?
life-storage-collectible-items-9
Is the Future of Collectibles Digital?
bitcoin
How to buy virtual currencies
download
Bitcoin ATMs On The Rise
Use 1 crop
The Continuing Transformation of the Cryptocurrency Market
feat
THE DIVERSIFICATION OF DIGITAL ASSETS
Bitcoin_15
THE CHANGES AFFECTING BITCOIN'S GROWTH
advertisement
1REALTOUR-SAN DIEGO-WEB DESIGN

Commercial Relationship Manager 3, Wells Fargo Bank, N.A., Los Angeles, California:

Represent the bank in developing and maintaining client relationships within middle market and mid-corporate banking.

Position requires a Bachelor’s degree in Business Administration, Finance, or related field and 3 years of experience. Requires up to 20% travel.

To apply, send resume to recruiter_inbox@wellsfargo.com and reference Requisition # 000329 in the subject line.

Facebook Twitter LinkedIn LinkedIn Instagram
C B J   LOGO  SVG-01
  • About
  • Contact California Business Journal
  • Testimonials
  • Demographics & Advertising Rates
  • Terms & Conditions

Categories

  • Art & Culture
  • Business
  • Editor's Choice
  • Education
  • Featured
  • Finance
  • Food & Dining
  • Health & Fitness
  • Human Interest
  • Insurance
  • Law
  • Marketing
  • Medical
  • News
  • Newsletter
  • People
  • Popular
  • Real Estate
  • Social Media
  • Technology
  • Uncategorized

CBJ Partner Firebrand Media

Laguna Beach Independent Newspaper
 Laguna Beach City Guide
 Newport Beach Independent Newspaper
Newport Beach Country Club Magazine
  Montage Magazine
 Omni Escapes Hotel Magazine
 Bespoke Concierge New York
 Evans Hotels
 Laguna Beach Magazine
 On The Menu Laguna Beach
 Newport Beach Magazine
Coastal Real Estate Guide (NB,LB, CDM)
Monarch Beach Resort Magazine
 Pacific Coast Magazine (SoCal)
Sea Island Life Magazine
Salamander Hotel & Resorts Magazine
 View our entire portfolio

 

Most Viewed

  • Gavel, scales of justice and law books

    Lawsuit Basics: How Much Does It Cost to Sue Someone?

    0 shares
    Share 0 Tweet 0
  • NFL Paychecks: How Do NFL Players Get Paid?

    0 shares
    Share 0 Tweet 0
  • What to Do When an Online Casino Refuses to Pay Out Your Winnings

    0 shares
    Share 0 Tweet 0
  • The Impact of Covid: Racing to Buy Second Citizenships

    0 shares
    Share 0 Tweet 0
  • New Study: California’s 10 Universities That Produce the Most CEOs

    0 shares
    Share 0 Tweet 0
  • Five Reasons Why The Government Does Not Like Bitcoin

    0 shares
    Share 0 Tweet 0
  • The Only Way

    0 shares
    Share 0 Tweet 0
  • Is Virtual Financial the Future of Financial Services?

    0 shares
    Share 0 Tweet 0
  • How to Start a Telecommunication Business: A Step-By-Step Guide

    0 shares
    Share 0 Tweet 0
  • Best Crypto Faucets You Can Try In 2021 and 2022

    0 shares
    Share 0 Tweet 0

Latest Articles

Chicago

What You Should Not Miss When Visiting Chicago

Personal injury

What can I expect my personal injury protection to cover

las vegas

3 Tips to Win More Money When Visiting Las Vegas

How Can You Put Green Papua Kratom To The Best Possible Use -- Pexels.com

How Can You Put Green Papua Kratom To The Best Possible Use

arbitrage betting

How to Find the Best Arbitrage Betting Opportunities

Santa Monica, California

The Middle Class: 5 Best Places to Live in Los Angeles for Families

high heels banned in carmel, california2

Some of the Most Unusual Laws You’ll Ever Experience in the UK and California

Contractor

How To Find a Trustworthy Contractor

Online Bingo Tips

Online Bingo Tips For Beginners: How To Play And How To Get Free Spins

John Cooke, Partner, Bergston LLP

The Legal Side of Things: Business Profile on John D. Cooke, Bergeson, LLP

California Business Journal | California Business News, California News Media, California business articles | Orange County, Los Angeles, San Diego, Inland Empire, Northern California, San Francisco | Huntington Beach CA 92649 | (949) 648-3815
ALL RIGHTS RESERVED BY CALIFORNIA BUSINESS JOURNAL.
Site Design by 1REALTOUR

No Result
View All Result
  • Front Page
  • Business
  • Finance
  • People
  • Featured
  • Technology
  • Law
  • News
  • Food
  • Art & Culture
  • Human Interest
  • Education
  • Insurance
  • Real Estate
  • Health & Fitness

California Business Journal | California Business News, California News Media, California business articles | Orange County, Los Angeles, San Diego, Inland Empire, Northern California, San Francisco | Huntington Beach CA 92649 | (949) 648-3815
ALL RIGHTS RESERVED BY CALIFORNIA BUSINESS JOURNAL.
Site Design by 1REALTOUR