Everything You Should Know About Cryptocurrency Debit Card
By Space Coast Daily // February 22, 2021
The cryptocurrency’s primary use case is to facilitate transactions and payments, while other utilities take second place. The goal is to have a cup of coffee at your favourite cafe and pay with Bitcoin or whatever cryptocurrency you own.
While this is the goal, when it comes to mainstream recognition, the crypto space is still a long way from achieving it. Crypto struggles to experience a general breakout that will usher in an era in which using crypto for everyday purchases is a possibility.
Regardless of how slow the mainstream movement has been in recent times; emerging solutions seek to bridge the gap between the world of cryptocurrencies and significant institutions.
Encrypted debit cards are one of them. Due to their increasing popularity, Crypto Links have chosen to explore the basic functionality of best crypto debit cards and highlight some of the crypto technology companies that provide related services to crypto professionals. Crypto links will also introduce you to some of the essential factors to consider when choosing a crypto debit card.
What is The Crypto Plastic Card?
A crypto plastic card has similar functions to conventional bank cards but with a particular affinity for cryptocurrencies. In other words, crypto cards are essential tools for making payments at retail stores or e-commerce sites.
They look like traditional credit or debit cards. Although this is a fact, crypto cards make crypto payments easier because they offer a faster way to make crypto payments, and it doesn’t matter whether the retailer accepts crypto or not.
This claim stems from the fact that plastic crypto cards exchange cryptocurrencies for fiat currencies before facilitating payments. Therefore, users do not need to go through the long process of executing crypto-fiat exchanges on trading platforms before finally paying for services and products with fiat currency.
They need to adopt a system that seamlessly deducts their crypto balance and pays merchants the fiat currencies’ subtracted value. Please note that card providers charge a service fee each time you use their cards.
Two crypto card combinations exist and are as follows:
Crypto Debit Card
Crypto debit cards are currently the most widely used variant. Like crypto prepaid cards, users must deposit their cryptocurrencies with the provider. However, this is done through a web application, which makes the process much easier. Also, a crypto debit card provider does not exchange crypto for fiat money until it is needed. Instead, these providers choose to incorporate an instant exchange system that activates instant exchange every time the card is used.
Therefore, crypto-fiat exchanges go into effect at the exact moment the user executes a payment order. This model avoids crypto debit card challenges related to price tracking and accurate asset valuation. And they offer a faster and more precise crypto exchange.
Crypto Prepaid Card
These are older variations of plastic cryptocurrency cards, requiring users to pay card providers an amount of cryptocurrency to access a Visa / Mastercard loaded with an equivalent amount of traditional money. Once you have this setup, you can use the card as you would a regular bank card. As stated above, this model is somewhat out of date, requiring you to be convinced that the card provider’s manual volatile asset trading system is credible.
Why is Crypto Debit Card Not Popular as They Should?
Crypto debit cards have yet to break glass ceilings, as most cryptocurrencies still struggle with scalability and expensive transaction fees. Take bitcoin as a case study.
The Bitcoin network takes an average of 10 minutes to verify transactions, which goes against the very essence of using a Bitcoin debit card. Additionally, transaction fees tend to skyrocket when there is network congestion, which also affects transactions’ speed.
While cryptocurrencies offer impressive transaction speed, most of these assets still do not have market caps close to those with scalability issues. In light of this, there are still limitations that cryptocurrency card providers, and cryptocurrency networks as a whole, must resolve before the general public can adopt crypto debit cards.
How is it Easy to Get Crypto Debit Card?
Crypto links can conclude that crypto debit cards are readily available and easy to adopt from what they have seen so far. You can search the web for a list of crypto debit card providers operating in the crypto industry. However, it is advisable to do your due diligence before entrusting your funds to debit card wallets.
This claim stems from the fact that crypto debit cards are new technologies making their way into an emerging market. Therefore, it is imperative to consider all the details that would help you check the effectiveness of the card providers.
Factors That You Should Consider When Choosing Crypto Debit Card
There are a few factors that can help you choose the best crypto debit card for you. In this section, they’ll highlight some of the holistic things to consider before making a decision.
Crypto regulation remains a problematic issue in many regions. Therefore, it is your responsibility to determine the status of the cryptocurrency at your location before deciding to own or spend cryptocurrencies.
For people living in countries where legislators have yet to legalize cryptocurrency activities, the chances of finding a crypto debit card provider willing to respond to their jurisdictions are slim. And even if they do, circumventing regulations to use crypto cards could harm them again.
On the other hand, people living in crypto-friendly countries should research the card provider’s inclinations to comply with defined crypto regulations. Furthermore, since these entities link the crypto and fiat economy, they must also comply with traditional financial institutions’ rules.
Due to regulatory obligations to manage a crypto debit card legal facility, it is common for credible providers to restrict their services to countries or regions where they have successfully met regulatory requirements. Therefore, you need to work out the details regarding the card provider’s jurisdiction before opting for it.
Easy to Use
One day, the goal is to have access to transparent crypto debit card services that could compete with traditional bank cards in terms of ease of use or even exceed conventional standards. Until then, you need to make sure that the considered crypto credit card provider’s services are as straightforward as possible.
Note that your crypto debit card account is linked to an exchange, so it is advisable to research what processes are happening in the background, how fast those processes are, and how they contribute to your experience. It is worth noting all of these factors, and they would determine whether you would like to use the debit card or stop using it out of frustration.
Security Status of The Crypto Debit Card
Security is a factor that you should not take lightly, especially when the issue in question is your cryptocurrency holdings. As such, they suggest that you ensure that the encrypted debit cards under review have standard security measures, which will protect your information and assets from harmful entities. It would help if you focused on the two-factor verification system, site encryption, and email alerts.
You must reserve a crypto card service that does not have the infrastructure to meet these security requirements. It is also advantageous to opt for providers that have partnered with market leaders such as Mastercard and Visa. Note that service integration allows users to access top-notch security protocols found in established card services like 3D Secure. For example, a Visa cryptocurrency card includes all the security benefits discussed with Visa cards.
Although crypto debit card services are new concepts, several factors can help you determine the crypto debit card service’s longevity and credibility. First, you need to assess the provider’s experience in the fintech crypto space and its proactivity in the crypto space. It would help if you also verified that the company has made sufficient efforts to ensure compliance and is working closely with regulators to provide its users’ safety.
In the end, Crypto links found some best crypto debit card services that met their criteria and deserved mention on the website. They suggest that you make an effort to research each platform using our unbiased review articles.
■ Adv cash
■ Spectro Coin Prepaid Card
■ Crypto pay
Advanced Cash (Adv Cash) is an electronic money and payment platform. Adv Cash’s goal is to provide you with low-cost financial solutions. The platform users benefit from a series of services that include transaction services through the control panel and a card that they can request. Four fiat currencies can be used through the platform, including Euro (EUR), Great British Pound (GBP), US Dollar (USD), and Russian Rubble (RUB).
There are no associated maintenance fees in terms of the card, which is a nice feature compared to the competitor’s costs. Transaction fees vary by type, but in many cases, they are lower than competitive prices. If you think you could safely and reliably trade for these lower fees, Adv Cash says they use a data centre encryption and backup data system. They were not audited, though, so that this cannot be confirmed.
Spectro Coin Prepaid Card
Spectro coin offers several cryptocurrency solutions, including exchange, wallet, card, and payment processing. The card will work the same as a regular credit or debit card. Spectro coin cards are denominated in euros or USD and are financed with one of the supported cryptocurrencies.
The list of supported cryptocurrencies includes more than 30 currencies. The card is also supported worldwide, which is another strength of Spectro coin, as many card issuers in the crypto space do not help US citizens.
There is a $ 1 service charge for the card, which is a disadvantage compared to other cards with no service charge. However, this is a small amount and is not charged if there is no money on the card. They are mixed in terms of fees, but some can be high, like setting 5% for credit card financing. A virtual card also costs € 9, and most competitors have no fees for obtaining a virtual card.
Crypto pay is an exchange, wallet and card solution that allows you to withdraw money from any ATM and shop anywhere with card support. The major fiat currencies, USD, EUR and GBP, are supported. Supported cryptocurrencies include bitcoin, lite coin, and XRP.
Ethereum is expected to launch soon. However, the card can only be funded in fiat currency or bitcoin. Two types of cards are supported. Once funded, you can easily convert between bitcoins in your wallet and fiat currency. The plastic card must be requested for point of sale and ATM transactions.
You can use the virtual card for online buying. A plastic card costs $ 15, while a virtual card costs $ 2.5. The fees for using the card are roughly comparable to the competition. There is a $ 1 monthly service charge on cards and transaction fees at ATMs and POS. A bill to consider is a foreign currency charge of 3% if you load your card in a currency other than the currency in which it is denominated.