This week, bitcoin ATM manufacturer Kointron installed the State of New Jersey’s first bitcoin ATM at the Smoke Shop Jersey City, 2822 Kennedy Blvd.
The ATM is located at a popular smoke shop in the second-most populous city in New Jersey. The Kointron team and its founder Michael Singh have decided to launch the company’s first bitcoin ATM at this specific part of the city because other companies have had success in similar locations. The Smoke Shop is located in the Journal Square area of Jersey City, the busiest area of city where the majority of employees, tourists and students visit day-to-day.
“We need this for mass adoption, we need this to be as safe, efficient, and quick as possible,” Singh explained.
However, unlike most bitcoin ATMs installed worldwide, Kointron’s ATM takes a significantly large service fee, ranging from 8 percent to 15 percent. Of that, Kointron itself is set to take around 4 percent.
Singh predicts that most of the regular exchanges and transactions processed by the ATM will range from hundreds to even thousands of dollars, and thus expects to take around as little as $4 to $40 per exchange.
“Bitcoin users regularly exchange hundreds or thousands of dollars of cash per transaction at other similar machines,” Singh announced.
The Kointron team told nj.com that the company plans to open an ATM in Hoboken, New Jersey next, and expand throughout New York and across the nation.