Coinbase will allow the U.S customers to use its Visa card to make purchases starting next year
Cryptocurrency exchange Coinbase will be launching its Visa debit card in the United States by next year. The company announced yesterday that customers could join the waitlist for the Coinbase card.
According to the cryptocurrency exchange, the Visa debit card will be issued to customers. It would allow them to use crypto for payments and purchases online and in-store and ATM cash withdrawals. The Coinbase card is another opportunity for Coinbase users to earn 4% back in crypto rewards.
This isn’t the first time Coinbase is launching its debit card. The company launched its debit card for the U.K and European customers in April 2019. At the time, the San Francisco based company revealed that customers could spend their Bitcoin (BTC), Ether (ETH), Litecoin (LTC) and other cryptocurrencies effortlessly. Currently, the Coinbase card is available to customers in nearly 30 countries across Europe and the United Kingdom.
Although customers will be using crypto to make purchases, Coinbase converts the coins to fiat currencies instantly. Hence, enabling fast transactions. In this latest development, the Coinbase cardholders can spend crypto anywhere Visa cards are accepted worldwide.
Coinbase card has various benefits
According to the blog post, “Coinbase cardholders can spend directly from their Coinbase accounts without having to move funds to their bank accounts. Cryptocurrency is converted to U.S. dollars prior to completing purchases and ATM withdrawals”.
Using cryptocurrency through daily spending can help a user earn rewards from the crypto exchange. When the card is launched in the United States, customers can choose to earn 4% back in Stellar Lumens or 1% back in Bitcoin.
The customers can also manage their spending and reward preferences via the Coinbase app. “Customers can opt to spend stablecoins like USD Coin or other specific cryptocurrencies with the touch of a button”, Coinbase added.
Coinbase is launching its Visa card in the United States a few days after PayPal announced its entry into the cryptocurrency scene. PayPal will provide tough competition to the likes of Coinbase, Square and other cryptocurrency entities in the world. The payment giant has started making moves to expand its crypto services with the recent acquisition of BitGo.