Published 3 months ago • 4 minute read

Confusion Around Crypto Debit Cards

Cryptowisser.com provides cryptocurrency users with precision information on how to obtain a crypto debit card anywhere in the world.  Fact: Over 90% of reviews on the internet are completed by websites that have little to no understanding of how these fintech products actually work.  This leads to reviews that are confusing and provide little to no value to you the customer.  This has to be solved. One question we constantly hear is:

“Can I get a crypto debit card in my country?

Club Swan has assisted in compiling a list of countries that allow their citizens to obtain crypto debit cards.  This list will be updated frequently and is subject to change, but for those that are looking for a crypto debit card, where you are from and where you reside matters most.

Global Differences

Citizens of any country in the European Economic Area and the UK enjoy the best selection of cards.  There are 17 and 16 brands respectively that issue into that region. 

The second most popular region is the Americas, with the United States and Canada  having eight (8) issuers, Mexico has two (2).  We should see this list expand with El Salvador making bitcoin legal tender and several other Latin American countries rapidly following suit. 

In Asia, Hong Kong, Singapore and Malaysia lead the way with six (6) brands issuing into those countries followed rapidly by five brands that issue into Indonesia, the Philippines, and Thailand

In Africa, where crypto adoption is growing at a torrid pace, five (5) brands issue into South Africa and (3) three brands issue into in Nigeria, Kenya and Egypt respectively.

Staked vs Non-Staked cards

One of the key items we have to point out is the difference between a staked card and non-staked card.  Crypto.com, for example, allows its card members to earn rewards paid out in their CRO token.  As crypto.com card holder, you will have to purchase an amount of th CRO token, stake it, and then earn rewards. Other cards are simple pass through of cash back and rewards or some cards, like Club Swan, provide an instant reward via a discount on the purchase of gift card.  In short, we encourage everyone to decide which rewards program is best for them.

Confusion Around Crypto Debit Cards NEW 2

Why use a crypto debit card instead of bank issue debit card?

Liquidation Speed

If you want to convert your crypto into fiat, a crypto debit card is a must if you want to do it in a timely manner.  Let me give you an example.  It is Friday late, you have witnessed some gains in your portfolio and you want to take some profits.  To convert the crypto into fiat using the traditional banking system, you will need to

  1. Sell your crypto to the exchange for fiat
  2. The exchange will wire the fiat funds to your bank
  3. The bank will deposit the funds into your account

You are lucky if this transaction can be completed in four hours.  Normally it is one business day.  Too long in our book.  However, using a crypto debit card that, especially those that have instant liquidity, once you sell the crypto to fiat, you can immediately transfer the funds to your card wallet. 

One thing of note to examine is limits.  Some providers limit the amount you can instantly transfer on a daily or monthly basis. 

Tracking and Accounting

As central governments are adopting cryptocurrency as an asset class, you will have to be prudent in organizing and accounting for transactions to determine what the tax basis is.

Depending upon where you live and the amounts, gains on sales are treated as taxable events in some cases. It will be important for you, the crypto user, to have all of that  information readily available in one place to ensure your documents are correct and in order.

Financial Flexibility

This goes without saying, but if you travel the world frequently, having access to funds 24/7 is critical.  Cryptocurrency does not have an opening bell.  Cryptocurrency is traded globally, 24/7. You must have a fintech partner that understands this and provides you with a level of service and flexibility that meets the 24/7 global nature of crypto.  One area we encourage you to review is the customer support of each of these providers to ensure that they have resources available to provide the support when you need it.

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DISCLAIMER

The views, opinions and positions expressed in this article are those of the author alone and do not necessarily represent those of https://www.cryptowisser.com/ or any company or individual affiliated with https://www.cryptowisser.com/. We do not guarantee the accuracy, completeness or validity of any statements made within this article. We accept no liability for any errors, omissions or representations. The copyright of this content belongs to the author. Any liability with regards to infringement of intellectual property rights also remains with them.

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