0%

In our never ending effort to offer the most scalable, compliant and profitable service, we’re excited to introduce 0% fees to all Robocoin Operators.

Robocoin’s goal is to bring bitcoin to the world. Just as we lead the industry with compliance and security technology, global accessibility and uptime, we’ll continue leading with the lowest fees to nurture bitcoin adoption and availability.

Robocoin purchase options:

$20,000 + $10,000 lifetime license (introductory price until April 30) + 0%

or

$20,000 + 1%

Ready to become a Robocoin Operator? Email sales@robocoinkiosk.com and let us know which purchase option you’d like.

Existing Robocoin Operators: starting in April, you’ll be auto-enrolled in 1% fees and immediately begin earning more. Email us if you’re ready to purchase a lifetime license and never pay transaction fees again.

There was a race to 0% fees. Welcome to the finish line.

On Mt Gox

The Mt. Gox failure marks the end of bitcoin’s youth. New bitcoin companies are stepping up with institutional grade consumer protection, services, and government compliance – companies like @Blockchain @Coinbase @Bitstamp and @Robocoin. Bitcoin is robust and resilient. The protocol and fundamentals remain unchanged. Its businessmen and engineers are building tools to give consumers confidence that Bitcoin security, accessibility and storage are trustworthy. It’s a shame that many people lost money, but when underperforming businesses are replaced by innovative ones, the economy grows stronger. It’s a good day as bitcoin continues to grow up – a few blemishes along the way are natural and healthy. We expect bitcoin to grow even faster in the days ahead.

- Jordan

Robocoin Exceeds $1,000,000 CAD transaction volume on 29th Day Live

Vancouver, B.C. Robocoin, the world’s first Bitcoin ATM, continues to ride a caffeine-and-media induced buzz. On just its 29th day of operation, the first Robocoin has exceeded $1,000,000 CAD in volume from 1,576 transactions. Over one half of the buy-transactions generated new wallets, suggesting that Robocoin continues to attract first time bitcoin users.

In the days since Robocoin’s launch announcement the price of Bitcoin has jumped from $177 USD to $881 USD (on the Bitstamp exchange according to Bitcoincharts.com.) While China’s bitcoin enthusiasm and a remarkably positive US Senate hearing helped lead bitcoin’s recent price surge, Robocoin contributed by injecting unprecedented present and perceived bitcoin liquidity along with favorable press, mainstream acceptance and technological leadership with Anti-Money Laundering and Consumer Protection compliance.

Those familiar with Bitcoin have long lamented the historically arduous exchange process and have been delighted by Robocoin’s ease-of-exchange. Some customers used their newly purchased Bitcoins to buy coffee at the Bitcoin-accepting Waves location, while others impressed their parents by exchanging Bitcoins for Canadian dollars.

Robocoin #1, Month One Timeline:

•Day One: Robocoin opens for business inside the Waves Coffee House at 900 Howe St., completes over $10,000 transaction volume from 81 transactions between Bitcoin and Canadian dollars.

•Day Seven: first week transaction volume of $81,000 CAD exceeds first-month goal of $50,000.

•Day Eight: Robocoin exceeds $100,000 CAD transaction volume from 348 exchanges.

•Day 17: Robocoin breaks even for operators (fee revenue = operator hardware price)

•Day 29: $1,006,550 from 1,576 transactions

Press Resources:

Robocoin Press Images

Robocoin Demo

•Robocoin is family friendly: men, women, children and babies love Robocoin.

•Robocoin is media friendly: Forbes called us “the machine face that launched a thousand articles,” thanks to coverage in Wired, Time, New York Times, Washington Post, Huffington Post, Nasdaq, Mashable, Reuters, Gizmodo, TechCrunch, Venturebeat, The Daily Beast, Business Insider and others. Seriously, we love you.

Robocoin is En Route

Today is big. The first Robocoin is en route to Vancouver.

We are incredibly passionate about the product we’ve put together. Robocoin will be the easiest, quickest, most convenient way to both buy and sell bitcoin ever.  Say goodbye to pesky bank wires, archaic verification processes, and weeks of waiting time to get money converted. Using only the best bank grade hardware, Robocoin is capable of instantly handling transactions in the thousands of dollars.  Not only does this provide incredible convenience for Bitcoin owners, but this also has the potential to change the entire remittance industry.

Robocoin on the loading dock

One of our main goals is to bring Bitcoin to the masses which means making the buying and selling of Bitcoin truly human friendly.

By mixing the familiarity and convenience of the ATM with powerful Bitcoin software, buying and selling Bitcoin for cash will now be the simplest form of transacting to boot.  CASH IS KING.

We just wanted to tell the world how excited we are to finally get this game-changing machine out into the wild. We can’t wait to hear your thoughts. We can’t wait to help solve your problems.

We’d like to give a quick shout out to our incredible partners, Bitcoiniacs. Mitch, Cheyne and Jackson understand the importance of providing the world convenient Bitcoin liquidity with their storefronts. With Robocoin, they will now be able to scale their business across Canada and soon the world.

Thank you all so much. Here’s to next week.

Let’s Talk About the Operator Dashboard

Robocoin kiosks are equipped with specialty hardware you will be hard pressed to find on any kind of ATM you have encountered before. However, incredible hardware is only one piece of the equation: every operator’s machine is attached to a centralized dashboard they use to easily administer all of their Robocoins.

The dashboard is currently split into seven categories:

Summary
The summary page presents operators with a visual snapshot of the overall profitability of their operation that easily segregates costs such as complicated exchanging and transacting fees with operational revenues. They can also easily monitor each machine’s various inventory levels effortlessly.

Application Settings
This page gives operators the power to enter settings that apply to the overall behavior of the application, such as email and sms notifications, automatic market exchange buys and sells for speculation risk reduction, per-user transaction limits and timeframes, and the number of confirmations to wait before executing a sell transaction.

Kiosk Settings
Each kiosk has a wide variety of settings that let operators easily customize their machine given their business strategy and regulatory compliance needs. Fee amounts, transactional limits, pictures, groups, alert thresholds, and receipt times are easily accessed and modified. Additionally, each kiosk can be set to comply with various degrees of legal requirements: do you live in an area where you don’t need to collect identifying information but merely need to limit transaction volume? No problem. Do you live in an area where you must also collect user information and prove that the person transacting is associated with their provided ID? Robocoin kiosks can do this far more reliably than a human due to a special combination of our palm vein, dedicated hardware global ID scanner, and webcam facial comparisons. Robocoins can automate this one-time enrollment process by employing image recognition technology to identify proper right-hand samples from the palm vein scanner and do facial identification and recognition against the provided ID card and webcam sample. Any samples that do not meet a certain confidence threshold are submitted to the operator for manual reviewal.

Transactions
Every single transaction is recorded and available to operators in excruciating detail: from transaction statuses, operational and errors logs, bill validator, dispenser, and printer activity, webcam photos, palm vein photos, market execution trades with id numbers, fee explanations, and various other application processes with timestamps are all available for each and every transaction. Robocoin transaction logs are an operator’s dream.

Users
User activity is recorded and can be provably isolated to every transaction. Operators can set special limits for trusted users if they choose, revoke the ability to use the kiosk entirely, and analyze quantities and frequency at any time. Operators who enable KYC compliance join every other operator who has enabled KYC compliance to create a massively interconnected user network where a user who registered at a California kiosk can do business from a different kiosk operator in New York. User transaction activity applies to each operator’s compliance settings in this group to prevent nefarious buying behavior across operator boundaries. Operators who do not enable KYC compliance manage and operate their own segregated non-identified user network and do not join this special global group.

Financial Reporting
We have big plans to continually surface useful information to operators as we gain more input from our early adopters. However, very specific reports sometimes need to be created so we let operators export raw transactional data to a spreadsheet to generate and do business analysis. If you are currently doing Bitcoin trading, we feel you will be pleasantly surprised with the amount of financial data we capture and can export for your consideration.

Robocoin combines the very best hardware to facilitate the very best software solutions to give operators and their customers the easiest, safest way to exchange bitcoin… and we’re just getting started. :)

– John

RC – Robocoin Compliance

We’ve received quite a few inquiries about Robocoin compliance and I’d like to shed some light on the state of compliance in Bitcoin.

Depending on your jurisdiction (country, state, etc.) compliance requirements differ. With this post, I’m going to focus on US compliance because it is by far the most strict and will likely set a precedent for governments to come.

Disclosure: I am not an attorney and the information provided below is not legal advice; it is information only. I recommend seeking counsel from an attorney.

Good news part 1 – The Government is cool with Bitcoin and they want businesses to play ball with their regulations.

The US Federal Government has considered Bitcoin a Virtual Currency. This, contrary to popular belief, is not a terrible thing because compliance methods are well documented. The Government does not consider Bitcoin a threat, nor should they, they merely want anyone transmitting Bitcoin for currency to adhere to the regulations that keep their citizens free of harm. Federal and State governments care about ensuring that:

1. Operators are not laundering money, financing terrorism or engaging in fraudulent activities.

2. Operators are protecting the customers (the government’s citizens) by not stealing money or committing fraud.

Robocoin Operators are indeed Money Service Businesses and need to register as a Money Service Business on the Federal level and get licensure with the State in which they are operating:

1. Compliance on the the Federal level is as easy as registering as a Money Service Business, ensuring that the business maintains full Anti Money Laundering & Know your Customer compliance.

2. Licensure by the State in which the business is operating is a much more difficult, expensive and time consuming task. Operators must apply for license and prove that the business they are operating is legitimate, bonded, insured and limits customer risk. Each state’s licensing and bonding requirements are unique and should be researched in depth before applying.

The US Financial Crimes Enforcement Network (FinCEN) set the bar for compliance very high and Robocoin fully embraces and supports the laws that govern Money Service Businesses. The process may seem arduous, but in order to provide the people with the easiest access to Bitcoin, Robocoin Operators must go through the proper measures.

Good news part 2 – Robocoin knocks the ball out of the park when it comes to adhering to regulation and compliance.

Robocoin software, coupled with bank grade hardware, was built from the ground up to operate with 100% compliance in the United States.

Operators, via the Robocoin dashboard. have the ability to fully know their customer by creating accurate user profiles: Customer’s information is gathered by Driver’s License/ID scans, matching the License/ID photo with a live photo taken by the Kiosk automatically, and finally, using the palm vein scanning technology, Robocoin is able to finalize and verify the customer’s profile with biometric authentication. The operator has full capability, via the dashboard, to approve or deny any customer.

Conclusion. This is going to be awesome.

Robocoin is here to provide people the easiest way to buy and sell Bitcoin. The only way we can execute our mission is to play ball with governments. Ultimately, we believe that the more Robocoins in circulation, the more people will hold Bitcoin, the more the currency will be validated, the stronger it will become.

- Jordan

Not All Bitcoin ATMs are Created Equal

The machine-automated Bitcoin exchange space is one which has received lots of exciting attention as of late for good reason: expanding Bitcoin liquidity is a necessary and highly sought after feature many in the community feel will help lower the barrier to entry enabling effective introduction to newcomers who may be unaware of the many benefits decentralized digital currencies have to offer. Robocoin seeks to help facilitate this gap in the market by seamlessly integrating both buy and sell operations.

However, do not be duped into believing all machines in the current space are capable of protecting operators from many of the unexpected pitfalls that arise when transacting with this technology. Below is an evaluation of some features that separate Robocoin from competitor products.

Inherent Fraud Protection
Robocoin Kiosks have a transactional model similar to for-profit parking garages who issue tickets when entering and receipts upon leaving. Before any money is given to the machine for exchange, either government notes for a buy transaction or Bitcoin for a sell transaction, the customer is first printed a ticket. The ticket provides, among other things, a unique transaction ID that can be used to resolve issues in the unfortunate event of a failure during the transaction. Upon successful completion, a receipt is printed as a proof of purchase. However, this model also protects the operator from unscrupulous players. For example, a dishonest individual could claim that the machine ripped them off for $100 during a buy transaction.
Bottom Line:  Competitor products who are unable to produce some sort of pre-transaction proof will leave an operator in a situation that could be extremely difficult separating a legitimate complaint from a fraudulent one. Operators using machines that do not provide pre-purchase proof are in danger of this attack.

Regulatory Compliance
Jurisdictions that need compliance usually require those holding licenses to know who, what, where, when, and how much at any time. By combining state of the art palm vein scanners with a camera, Robocoin gives operators the power to limit the amount of money flowing through the machine by certain transactors in a given time period. Within the United States, both buying or selling Bitcoin using government issued notes require money licenses. Robocoin requires US operators to have an MSB before we sell to ensure a long-lasting, enjoyable partnership.
Bottom Line:  Competitor products who are unable to give operators the power to limit the amount of money each customer is transacting, let alone knowing who their customers are, is a massive problem in many jurisdictions.

Lamassu Prototype

Lamassu Prototype

Inventory and Opportunity Cost – A tension exists between the cost of servicing and the lost opportunity of sales. Giving operators the ability to hold large amounts of fiat like our 2,200 note capacity bill validator means less costly visits to the machine and less exposure to the lost opportunity of foregoing sales due to a full inventory.
Bottom Line:  Smaller competitor products, like the Bitcoin Machine, can only hold 200 notes (I believe) which places operators in a difficult position: have I made enough money in transactions to send people out to service the machines? How much lost opportunity have I incurred by having a full inventory between service trips? Large capacities simply mitigate these risks.

Security – Machines which can be easily lifted simply cannot be left unattended. Machines which cannot be left unattended remove the benefits of purchasing a machine in the first place.  Our competitors agree – “[Bitcoin Machine] is not meant for unattended or outdoor use.” Robocoin Kiosks weigh in at approximately 750 – 800 lbs and also have a security mounting base. They are heavy enough to prevent casual thieves with bolt cutters/pry bars but not as heavy as traditional ATMs (~1,500 lbs or more) that may require special shipment arrangements and installation locations (RIP wooden floorboards).
Bottom Line:  Size matters when it comes to security, but we still recommend keeping your investment in a safe, indoor location.

Adaptability – Bitcoin is an exciting space that seemingly changes on a daily basis. Operators need to be able to adapt to changes in the market – such as new exchanges coming and going as well as promising alternative virtual currencies. We have loaded Robocoin machines with hardware that can be used to help operators adapt to seamless software updates that we can push to machines as the environment changes.
Bottom Line:  Operators purchasing machines from competitors who are unwilling to enter into a software license agreement are taking an additional risk and assumption that the environment is relatively static and unchanging – a dangerous assumption for those who are familiar with this space!

From the beginning, we were committed to delivering a solution that combines industry standard equipment with new business processes to accommodate the emerging digital currency liquidity market.  Our goal is to make our partner’s RoboCoin investments return more than any other offering  while working alongside them every step of the way. Our RoboCoin team is made up of really competitive people who want to be the best – that means providing the best software, hardware and service.   If you would like more information, contact us.  

- John