CNBC: Bitcoin ATMs have become one of the biggest threats to cryptocurrencies

BlockBeats news, September 8, according to CNBC, the number of Bitcoin ATMs has grown rapidly in the United States, and some experts believe that this also brings a growing threat of cybercrime. Bitcoin ATMs are similar to traditional cash ATMs: you need to enter a PIN code and pay a withdrawal fee, just like other ATMs.

However, unlike cash ATMs, the high value of cryptocurrency makes it a prime target for hackers. Therefore, while a cash ATM hidden among snacks and energy drinks at a gas station may not attract much attention, Bitcoin ATMs will be scrutinized by more criminals.

"Obviously, these machines are particularly vulnerable to physical and cyber threats, making them a prime target for hackers and thieves," said Timothy Bates, a professor of cybersecurity at the University of Michigan's School of Innovation and Technology.

According to Frei, data shows that nearly 74% of ATMs worldwide are managed by 10 operators.

Bitcoin Depot, the largest Bitcoin ATM operator, operates more than 8,000 ATMs. Its CEO Brandon Mintz said the company's machines are designed to prevent hacker attacks. But he also questioned the claim that Bitcoin ATMs are a major target for hackers.

"Bitcoin ATMs are generally not a high priority target for cybercriminals because the hardware and Bitcoin wallet environments are separated," Mintz said. He also said that Bitcoin Depot does not store any Bitcoin locally on Bitcoin ATMs, and the company has multiple layers of verification and approval processes to prevent unauthorized access to Bitcoin Depot's wallets.

In addition, Mintz pointed out that most Bitcoin ATMs (including Bitcoin Depot's ATMs) only accept cash, so this eliminates the possibility of criminals using card readers on traditional cash ATMs. However, he also reminded users to be vigilant against scams, and some of the basic protocols that protect consumers from traditional financial scams also apply to the world of cryptocurrency.