Cryptocurrency is the main hot cake nowadays. It has a tremendous impact on human beings. It is the most trusted payment method, and several countries use it as a legal tender. But can you use this currency as a regular transaction?
The answer is YES, but only through crypto-linked credit cards. And now, what is this Crypto-Linked Credit Card?
What Is A Crypto-Linked Credit Card?
Crypto-linked credit card is a regular credit card that provides fiat currency like USD and many rewards and benefits in your crypto wallet. Different crypto cardholders get different crypto tokens as rewards for their crypto credit cards.
These cards are designed jointly by the authority of banks and cryptocurrency exchanges, like Gemini Crypto Credit Card, Coinbase Visa Card, etc. As soon as you do the transaction using the card, you will earn rewards that will highlight in your crypto wallet.
Types Of Crypto-Linked Credit Cards
You will now get two types of credit cards in the market.:
1. Rewards On Monthly Statement: You will get reward points that will automatically convert to your cryptocurrency once the monthly statement is generated on a specific date.
2. Instant Rewards: In this case, you will get instant rewards whenever you swipe the card. You don’t need to wait for the monthly statement as a user. This type of credit card works just like a conventional credit card.
Benefits Of Using Crypto-Linked Credit Cards
Nowadays, cryptocurrency rewards credit cards are a good idea. It has several attractive features and benefits. Check out the following to learn more about crypto-linked cards:
➥ Investment Opportunities In Crypto
As you know, crypto is a volatile currency, so investing your hard-earned money into this asset is not worthwhile. Isn’t it? If you want to utilize cryptocurrency’s power, the rewards earned through crypto credit cards are the best way.
If you follow this way, you will keep your savings safe while receiving the tokens. Whenever you feel that the value increases, you can easily sell them to avail your profit.
➥ Rewards Can Be Converted Into Tokens
Do you want a currency conversion facility? With this crypto-linked credit card, you can switch your preferred currency into Bitcoin, ethereum, etc., and successfully make your investments. You will be glad to know that some credit cards provide miles, cashbacks, and gift cards as additional rewards.
➥ Issued By The Largest Payment Networks
Crypto-linked cards are also issued by MasterCard or Visa, like other credit cards. These two are the largest payment processing networks in the world. So your crypto cards will be accepted anywhere. Visa or MasterCard offers the same security features and rewards as other cards (according to cards T&C).
Points To Keep In Mind While Choosing A Crypto Credit Card
After getting an overview of Crypto Credit Cards and its features, it’s time to know the most important thing. Check out the following points you should remember while choosing a crypto card.
➥ Conduct Due Diligence
You will get guidance and an overview from several references, but the choice should be yours. Do proper research, and learn from various sources what rewards and tokens the credit card companies offer. Based on your conducted research, start shortlisting the cards.
➥ Compare Other Crypto Credit Cards
When you are done with your research and shortlisted the cards, find out which will suit you best. According to your requirements, pick the best one.
➥ Check The Reviews
Reviews are most important. It will help you to know more about the cards. You will come to know what customers say about the cards, and according to that, you can decide.
➥ Check The Fees Applicable
It is another essential thing you must check. Ensure you know the fees applicable on that particular crypto card because several cards include high fees imposed on them.
➥ Apply For The Card
Now, when you have full knowledge of crypto cards and have finalized a card, you can check and follow the application process and apply for it.
How To Apply For A Crypto-Linked Credit Card?
The application process is similar to any other credit card application. You need to fill up the application form issued by the bank. Then the authority will check your eligibility.
To get a crypto card, you need to qualify to ensure a good credit score. Also, remember to compare the annual fees and interest rates. The whole process will take a little time. Once everything is done, you will receive your card, and you are good to go; spend your money wisely and get rewards in your crypto wallet.
The Future Ahead For Crypto-Linked Card
This is the era of following trends. So, modern and traditional companies are expanding their customer base and penetrating the cryptocurrency market. You must embrace new technology and innovation to survive in the new generation. Crypto-linked credit cards are an excellent opportunity for cryptocurrency exchanges and payment networks.
If you are well-versed in cryptocurrency and understand its potential, having a crypto-linked credit card is a great idea. Compare the other cards available in the market and choose the best one according to your requirements. Remember that never overspending as late payments will increase the penalties and interests, which can be really expensive.
Frequently Asked Questions
☆ What Is The Difference Between A Crypto Credit Card And A Regular Credit Card?
★ Both are similar, but the only difference is that a crypto-linked credit card will provide you rewards instead of travel vouchers, cashbacks, and gift cards like a regular credit card.
☆ Which Crypto Card Is Best?
★ It depends on you, choose the one which suits you best per your requirements and spending goals. Remember to check the card offers, interest rates, and annual fees. Otherwise, it will affect your wallet.
☆ Is It Okay To Buy Crypto With A Crypto-Linked Credit Card?
★ Yes, of course. It is perfectly fine to purchase crypto with a crypto credit card. Various cryptocurrency exchanges allow you to buy credit cards.
☆ Can I Use A Crypto Card At An ATM?
★ Of course, you can withdraw money with a crypto card ATM. If you are using a crypto.com credit card, then make sure your card has a VISA or VISA Plus logo. Remember, additional charges are included.