Bitcoin Transactions Now Part Of Supermarket Coin Machines In CT

CONNECTICUT — The green kiosk sat next to the ice machine at one of the two Stop & Shop supermarkets in Vernon. The video display made it seem like a mini financial center, especially when it flashed to the part about bitcoin.

That's right, the green kiosks that convert coins into paper money at many Connecticut supermarkets are also offering chances to purchase cryptocurrency. The gatekeeper of the green machines — Coinstar — along with the Seattle-based Coinme digital currency exchange, are offering bitcoin purchases in a program introduced this spring.

According to Ivvestopedia.com, Bitcoin is "a digital currency, a decentralized system which records transactions in a distributed ledger called a blockchain. Bitcoin miners run complex computer rigs to solve complicated puzzles in an effort to confirm groups of transactions called blocks; upon success, these blocks are added to the blockchain record and the miners are rewarded with a small number of bitcoins. Other participants in the Bitcoin market can buy or sell tokens through cryptocurrency exchanges or peer-to-peer."

Here is another explanation from Bitcoin.org:

Coinme this spring added bitcoin as a purchase option in Coinstar machines at nearly 100 Stop & Shop and Big Y supermarkets, along with some smaller grocery outlets and even a check cashing venue.

Coinme officials said this spring that not only are customers converting loose change at the machines, but now larger bills.

Typical bitcoin customers at kiosks are men 45 and older with average incomes in the $50,000 range. according to Coinme. They often view bitcoin as an investment option for retirement, the exchange added.

There is a 4 percent fee for purchasing bitcoin at Coinstar kiosks and the redemption price can be higher or lower depending on the market.

As of Friday morning, one bitcoin was equal to $32,821.60.

Here's how it works:

• Create a Coinme account
• Find a Coinstar kiosk
• Insert cash into kiosk (coins not accepted for bitcoin transactions)
• Redeem and receive bitcoin instantly (per day purchase limits may apply)
• Only cash is accepted and coins cannot be used for bitcoin transactions

So far in Connecticut, the bitcoin machines are predominantly at Stop & Shop and Big Y supermarkets and at a Shoprite in Bristol. The machines are also at some smaller grocery stores, including Acme in the Riverside section of Greenwich, Better Value in in Canterbury, the Joseph Family Markets outlet in Canton and Adams Hometown Market In Milford.

A machine is also at the United Check Cashing location in Bridgeport.