Bitcoin ATMs are crucial for sending remittances. That's why in some places (e.g., U.S.) you'll find many of the bitcoin ATMs (vending machines) concentrated in areas where there are a lot of immigrants and guest workers. For many, they operate hand-to-mouth, meaning as soon as they get paid they want to send funds immediately (or as close to immediate as possible). A bitcoin ATM can be the fastest way to obtain bitcoin.

Sure the fees are horrible with many (if not most). But they work (most of the time), and thus have, for many, become a crucial component of sending a remittance payment back home.

Now, there's a difference between a bitcoin ATM that is for buying only, versus a two-way bitcoin ATM (where you can cash out as well as buy bitcoin). There aren't all that many two-way bitcoin ATMs in the U.S., even, nonetheless in other countries.

This means that for remittances, the recipient of the funds likely needs to use an exchange (if they are available in the country), or maybe a P2P trading platform in order to obtain fiat.

Other than for remittance, these ATMs can be simpler than buying at an exchange, at least when there is no ID-verification (KYC) requirement. So that's the other main use case for these bitcoin ATMs.

Ultimately, we progress towards having a circular economy, so that you are able to earn in bitcoin. When you earn in bitcoin, you are then more likely to spend in bitcoin. And when you earn in bitcoin, you aren't needing to hit up a bitcoin ATM very often in order to convert cash to bitcoin (or vice-versa).