I think this is a good thing in general for crypto in Iceland. I would like to see Auroracoin there also but from my conversations with the owner of the ATM, it comes pre-installed to buy cryptos from Kraken, which does not trade Auroracoin.

Mostly it will be tourists staying at this hotel that will exchange their ISK paper money to cryptos when leaving Iceland. Icelanders don't use paper money in general, only cards.