In the United States alone, 14.1 million Americans are unbanked. In addition to this, many are underbanked. With so many people out of the legacy financial system, what options do they have to handle their money?
Countries such as the United States and Canada are becoming increasingly Bitcoin and crypto-friendly. El Salvador even now sees Bitcoin as legal tender. As it may take a while for the rest of the world to catch up, a cryptocurrency debit card will have you spending in no time.
If you’re crypto-curious, we advise you to stick around. Read our informative guide below on how to get started using Bitcoin and other cryptocurrencies in payments anywhere you would normally use a fiat-based debit card.
How to Use a Cryptocurrency Debit Card
Check out what’s available and choose a cryptocurrency debit card to your needs and liking (more on that below). Understand that you’ll need to undergo KYC (Know Your Customer) compliance.
Top up your crypto wallet so that you can spend it in the real world.
Next, all you have to do is use the card as you normally would. When you swipe the card it will instantaneously exchange it for fiat so that the merchant can accept it as legal tender.
Benefits of Using a Cryptocurrency Debit Card
What are the benefits of using a cryptocurrency debit card? One is that your crypto will be accepted no matter where you travel to in the world. This opens up your options as you won’t have to deal with the hassle or fees of foreign exchanges.
If you find yourself with bad credit or without a bank account, Bitcoin and crypto don’t care. The crypto assets you own will be available to spend no matter what.
For certain cards like Wirex and Crypto.com, you are incentivized to hold their native tokens.
Another great perk is that you won’t have to concern yourself with spending limits. If you purchase an expensive item, you won’t have to worry about not being able to withdraw from an ATM and playing tag with your bank. Instead, head to a Bitcoin ATM here if you need some fiat in hand.
Choosing a Cryptocurrency Debit Card
Like anything with crypto, it’s best to do your research when it comes to finding a cryptocurrency debit card.
You want to start with where you are in the world. For example, cards like Coinbase and Crypto.com are best for U.S.-based individuals whereas Nexo is better for those in Europe.
Pay attention to perks, benefits, rewards, benefits, and fees. Some cards will have much higher APYs (~12%) than a traditional bank. While not crypto debit cards, Cash App and Fold will even earn you Bitcoin back with every swipe.
Try a Cryptocurrency Debit Card for Yourself
As you can see, a cryptocurrency debit card opens up your financial options. Whether you are unbanked, underbanked, or want to reap the benefits of crypto, why not pick a crypto debit card for yourself?
Crypto moves fast so it’s important to stay in the know. We advise you to check out our blog for all of the updates in the crypto markets.