After four years, Japan is bringing back its first crypto ATM

Crypto ATMs – or BTMs according to local terminology – are back in Japan after a long four-year hiatus.

Local crypto exchange firm Gaia Co., Ltd announced on August 2 that it will soon roll out BTMs that support Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).

Despite Bitcoin ATMs having debuted in Tokyo as early as 2014, the country has not seen any active digital asset ATMs since the crypto winter of 2018, when local exchange Coincheck was hacked for $530 million, bringing the local sector in knee and hurt the interest. in crypto ATMs.

Initially, the BTMs will be installed in locations across Tokyo and Osaka, but the firm has outlined plans to set up 50 BTMs across the country in the next 12 months. The company said it hopes to increase its installed base to 130 BTMs over the next three years.

The BTMs will allow users to withdraw a maximum of $747 (¥100,000) per transaction, with a maximum withdrawal cap of $2,243 (¥300,000) per day. The limited withdrawals are part of measures against money laundering.

According to an August 3 report by local media outlet Mainichi Shimbun, the move from Gaia will mark the first time a locally registered crypto company has installed crypto ATMs in Japan.

To withdraw money from the BTMs, users must register with the company to obtain a special card that gives them access to do so. Once approved, users can send crypto assets to BTM via a smartphone and then withdraw the cash amount in yen.

The BTMs will help speed up the current withdrawal process in the country, which often takes a few days to transfer money from an exchange to a local bank account, the Japanese-language outlet noted.

Is the crypto interest reappearing?

The Coincheck hack, along with the $500 million hack of the Mt.Gox crypto exchange in 2014, ultimately resulted in the government taking a hands-off approach by assigning oversight to the self-regulatory agency, the Japan Virtual Currency Exchange Association (JVCEA).

However, the government seems to have taken a renewed interest in helping the market flourish this year.

Related: Japan’s crypto groups demand an end to taxation of paper gains

As previously reported in July, Japan’s Financial Services Agency (FSA) issued JVCEA “stern warnings” to accelerate the rollout of AML regulation.

Meanwhile, Prime Minister Fumio Kishida has also asked the entity to speed up its lengthy screening process for new digital asset listing applications from local exchanges.

Last month, Cointelegraph reported that the Ministry of Economy, Trade and Industry (METI) opened its landmark Web3 Policy Office in the Minister’s Secretariat. The newly established entity will work to develop an innovative business environment for Web3 companies, along with rolling out regulation to support the sector.