How Banks Can Add Digital Asset Services to Existing ATMs

Banks are under growing pressure to respond to customer demand for digital asset services – but most are reluctant to build separate infrastructure for an unproven channel. The ATM network, already deployed and trusted, is an obvious candidate. The question is how to make it work without a costly, complex integration project.

BS/2 has introduced DigitalAssets.iQ, a solution aimed at helping banks add digital asset services through existing ATM networks. DigitalAssets.iQ works within the existing Payments.iQ NG architecture and links the ATM, the bank, and licensed virtual asset service providers within a single transaction flow. The solution supports buy, sell, and exchange scenarios, while transaction execution and regulatory compliance remain with the licensed VASP – meaning the bank is not required to build or maintain in-house crypto infrastructure.

For banks, the main challenge is integration. Rates, fees, KYC and AML checks, transaction data, and customer confirmations all must fit into one controlled process. Critically, the compliance responsibility stays with the licensed VASP, which addresses one of the key concerns institutions raise before entering the digital asset space. According to BS/2, the platform is built to handle those tasks within the current ATM architecture, giving institutions a way to test demand through pilot launches on a limited number of devices – before committing to a wider rollout.

At the device level, the user journey stays familiar. The customer selects the service in the ATM menu, enters the currency, transaction type, and amount – and sees no "crypto interface," just the standard ATM experience they already know. The system requests the current rate and transaction parameters from the VASP. In a purchase scenario, the customer inserts cash. In a sale scenario, the customer completes identification and confirms receipt of funds. The ATM prints a receipt with the transaction details.

As BS/2 Business Analyst Aleksandr Grebenko noted, "Banks are asking how to enter the digital asset space quickly, without taking on regulatory or infrastructure risk on their own. DigitalAssets.iQ is built around that question – the crypto service launches on existing ATM infrastructure, so institutions can assess real customer demand before deciding on next steps."

For the ATM industry, the value is clear. The model lowers the entry barrier for banks, supports pilot launches on a limited number of devices, and gives institutions a faster path to test and scale a new service through the self-service channel they already operate. That makes DigitalAssets.iQ not just a product announcement, but a practical rollout model for digital asset services at the ATM.

See how the flow works in practice in the BS/2 video.