Why Might a Crypto ATM Operator Prefer Physically-Settled Contracts?

A crypto ATM operator requires a continuous, reliable supply of the underlying cryptocurrency to fulfill customer buy orders. They might prefer physically-settled contracts to acquire the crypto at a pre-determined price.

This integrates their procurement process with their hedging, ensuring they receive the physical asset directly into their operational wallets, bypassing the need for separate spot market purchases and associated liquidity or slippage risks.