A debit card for cryptocurrencies and other cryptocurrencies is no longer much different from conventional cards linked to fiat currencies.
You can pay with such a card at the checkout in a store, withdraw cash from it through an ATM, or use it to make online purchases.
Usually, all transactions with cryptocurrencies are converted into fiat currency at the most favorable rate and without additional fees. The point is to make it as easy as possible to use cryptocurrencies, even if the seller does not accept them for payment.
Features of crypto cards
Before you begin operating crypto cards, you need to familiarize yourself with their characteristics:
- Such cards function as Visa crypto card and MasterCard card. Simply put, the proprietor of such a card may pay with it anywhere and anytime.
- The card will be linked to an account opened in a particular service. Thanks to this, you may gain fiat money rather fast.
- The card supplies round-the-clock entry to funds in both crypto and fiat.
- There are no intermediates, which facilitates and decreases the price of cryptocurrency trades.
How to use the crypto card?
The procedure will be identical if you have registered at least once in an online bank or on a bitcoin exchange.
So how to start the crypt operating such a card? Well, in general, maybe the time has come when I finally buy sausages for bitcoin.
Now there are 3 top choices for cryptocurrency card services. They depend on how the issuer’s system is structured:
- Option 1 includes the principle of operation of the Coinbase, Crypto.com card, etc. The card is linked to the account on the exchange, the user orders a card, and when he receives it, he can link it to his account on the exchange through the application. After registration and linking, the user can start making transactions with the card.
But if you look deeper, purchases are still paid in fiat currencies, and the cryptocurrency moves to the exchange, which acts as an online exchanger. This is undoubtedly a compromise solution because stores worldwide are not ready to accept bitcoin and other coins.
However, this option has two obvious drawbacks. The user must change the ltc wallet online from which he accepts funds. And again, maintain track of the sale rate so that the conversion is not unprofitable.
- Option 2 includes the work of AdvCash. The user has accounts and a card. The cryptocurrency owner can choose which currency account he wants to use to transfer the cryptocurrency: a dollar, euro, or any other account. To do this, the user is provided with a key tied to his account by inserting this key into the withdrawal window in the wallet or on the exchange.
- Option 3 is how Betconix, CryptoPay works. Here, the client holds a bitcoin wallet, a fiat account, and a crypto card; all this is held in one location – the app.
This option should be considered exactly like a mobile bank, where your credit and debit cards are connected and can be managed through the application. However, as a rule, such cards restrict the maximum amount that can be kept on such a card and withdrawn daily.