Coinbase, a leading crypto exchange and custodian, announced today issuance if a brand new crypto debit card that is directly linked to the user’s Coinbase account.
Coinbase provides its customers with the ability to use the new card to make payments online or in-store using cryptocurrencies supported by the customer’s Coinbase account in Bitcoin, Ethereum, Litecoin, and other tokens. The company promises that the customers will be able to
“use their card in millions of locations around the world, making payments through contactless, Chip, and PIN, -as well as cash withdrawals from ATMs. When customers use their Coinbase Card, we instantly convert crypto to fiat currency, such as GBP, which is used to complete the purchase.”
At the time of launch, the card will only be available in the UK with plans of future rollouts in many other parts of the globe.
Card issuance is also paired with the launch of the new Coinbase Card app, which allows users to choose which wallet they going to be using during the transaction. The app also provides receipt capabilities, transaction summaries, spending categories and will likely have functionality familiar to a regular credit card app interface.
Card Comes with a Slew of Fees
There are caveats, however. Aside from the fact that the card is currently only available in the UK, it also comes with a number of fees such as issuance fee of GBP 4.95, cash withdrawal fees of 1.0% over 200 GBP., a 2.0% international cash withdrawal for withdrawals over 200 GBP, as well as transaction fees. The list of fees is quite extensive and can be found here.
There are also other limitations such as daily spending limit of GBP 10,000 (can’t buy that Lambo with a crypto card yet!) and a daily ATM withdrawal limit of GBP 500.
Step Towards Mass Adoption
Despite a number of limitations and extensive fee list, a crypto debit card issued by one of the major players in the cryptoverse is definitely a step toward mass consumer adoption. Several years ago, no one outside of a small group of devoted enthusiasts wanted to talk about crypto adoption into the masses. Now, with news of this debit card, and major corporations such as Facebook working on their crypto solution, it seems that the pathway to mass adoption has reached a point of no return.
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