Despite Warning from the Central Bank, Hungary Gets its First Bitcoin Cash Machine

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Bitcion ATM
Bitcion ATM

Bitcion ATM

Though the central bank of Hungary has warned against the risks involved in Bitcoin transactions, the local supporters are not paying much attention to what they call unnecessary. The country now has got its first ever Bitcoin cash machine, which has been installed in a bar in central Budapest, the capital.

The users need to feed Hungarian forints in the machine which then electronically downloads the digital currency. Though, currently, this is the only available feature with the Bitcoin cash machine, the company says that in the future users will be able to reverse the process and exchange Bitcoins for forints as well.

Aiming to do big in Hungary, the company says that a lot of things will depend on the initial feedback from the users. The operator of the machine Barnabás Debreczen says that this is just the first step, right now of course only a few people are interested in it. He says that this kind of first step can help Bitcoin to be a common and friendly thing.

Barnabás Debreczen believes that Bitcoin can be used by the taxi driver, the policeman and everyone, and the Bitcoin cash machine is just a beginning for the revolutionary concept. Though the impact of the warning issued by the central bank of Hungary is not yet known as Bitcoin is still transacted in the country, it’s still not clear how would it react now.

More Than 20 Bitcoin Machines Operating in European Region

The decision by the central bank of Hungary did not bother much to Bitcoin supporters worldwide as this was on the expected line. Also, the jury is still out on the long term viability of the electronic currency and despite all the warnings issued by the banking bodies of the European Union; there are several countries that have Bitcoin ATMs as well.

Earlier in December last year the London-based European Banking Authority or EBA which represents national banking supervisors from all 28 European Union countries issued a warning about the perils of virtual currency for the customers and the national economies. The step was similar to the one from Central banks from France, China, India, Israel, etc.

The agency thinks that the potential pitfalls of digital money and its possible use for money laundering and speculative trading makes it unsafe and unsuitable currency. Following the guidelines, even the European Central Bank and the Bank of England decided that they are monitoring the development of virtual currencies.

To contact the reporter of this story: Deepak Tiwari at deepak@forexminute.com