A Litecoin ATM is just like any other crypto teller machine. It allows users to buy and sell Litecoins by using either cash or by utilizing a credit or debit card. However, not all crypto ATMs allow the sale of cryptocurrencies, some only allow the users to purchase them. In this article, we will more deeply into the Litecoin ATMs, how they work, and the various pros and cons associated with them.
What Is A Litecoin ATM?
A Litecoin ATM is an internet-connected automated teller machine whose primary function is to allow customers to purchase Litecoin using cash. Some of these ATMs even allow you to sell your stash of LTC. The Litecoin ATM is very different from the normal ATMs that we frequently use to withdraw fiat currency.
Unlike banking ATMs, the Litecoin ATM is based on blockchain technology that facilitates transfer from in and out of the user’s crypto wallet. There are also various fees associated with using these ATMs. Normally, these are charged as a percentage of the transaction rather than a fixed rate that you need to pay.
Woking Of Litecoin ATMs
The main principle of the LTC ATM involves purchasing Litecoins in exchange for traditional currencies like USD or Euros. First, you should go near the nearest LTC ATM, where the Litecoins are stored as there is no intermediate connection between the cryptocurrencies and traditional financial institutions like Banks.
Once you insert the amount of money you want to exchange for Litecoin, either enter the Litecoin wallet address or scan the QR code in the machine. After successfully completing the above-mentioned steps, the LTC will be deposited to your current wallet account based on the market value at that time.
There are also some LTC ATMs that allow you to sell your LTC as well. In such cases, you can enter the amount of Litecoin that you want to withdraw in the form of cash. After this, you can have this amount transferred to your debit card or can directly collect the cash. There is also an additional feature associated with some of these ATMs that allow you to send your LTC to other people.
Pros & Cons Of Litecoin ATMs
Litecoin ATMs are one of the best innovations out there that allow you to directly trade and withdraw your crypto coins through various teller machines near you. However, there are several pros and cons associated with this technology. Some major benefits and risks associated with these teller machines are listed as follows.
Pros
- Accessibility: The Litecoin ATMs provide a simple and easy way to trade in your crypto coins in exchange for cash.
- Ease of Use: It is relatively easy to use and get familiar with the Litecoin ATMs than you think.
- Easy Selling of LTC: Some LTC ATMs also allow you to sell your LTC in exchange for cash, which can either be transferred to your debit card or can be directly withdrawn from the ATM.
- 24/7 Service: The majority of the LTC ATMs out there are open 24/7, so you use them anytime to trade or sell LTCs.
Cons
- Fees: Litecoin ATM charges you for every transaction that takes place. Sometimes this can be a relatively large amount like 20% of your transactions.
- Security: Litecoin ATMs can be the main target of various fraudsters and other scammers as it can be especially difficult to trace it back to the scammers.
- Limited Options: Litecoin ATMs in most cases only support Litecoins. They can’t be used to trade or sell other cryptocurrencies.
- Verification Hassle: You need to verify your identity each time you have to use the Litecoin ATM or to facilitate the transaction.
Final Remarks
Litecoin ATMs are one of the ideal features in the crypto world that allow you to trade your LTC easily. There are a lot of crypto ATMS including LTC ones throughout the US. Not only that, you don’t need any bank details or other things to trade in these ATMs. In fact, the only thing that you need is your crypto wallet. However, while using these ATMs, you have to be mindful of the transaction fees they charge, as they can be really expensive sometimes. Another fact that you need to keep in mind while using these machines is to be wary of scammers and fraudsters, who make use of these ATMs to conduct their illicit activities.
