The best crypto credit cards are becoming increasingly sought-after for their hassle-free payment process and attractive reward systems. These significantly bring cryptocurrency into the mainstream by seamlessly incorporating it into everyday financial activities. By selecting the right card, you stand to gain from these rewards.
In terms of functionality, a crypto credit card mirrors a traditional credit card. The primary distinction is its connection; rather than being linked to a standard banking account, it is tied to a cryptocurrency wallet. Here are some of our top picks for 2024.
What are crypto credit cards?
Crypto credit cards are innovative payment cards that reward users with cryptocurrencies. These cards can be debit or credit cards and can handle transactions in either crypto or fiat currencies. The defining feature of these cards is their ability to reward users’ spending with cryptocurrencies.
When Satoshi Nakamoto first launched the Bitcoin network, leveraging blockchain technology, the aim was to create an electronic payment system independent of intermediaries. This innovation was a cornerstone in the evolution of decentralized finance (DeFi). However, due to the volatile nature of cryptocurrencies, businesses and consumers initially dismissed it as impractical.
Despite this skepticism, the crypto community, comprising enthusiasts and investors, actively accumulated these assets, significantly driving up their market value. This surge in interest, fueled by the foundational principles of blockchain and the growing DeFi sector, led to a wider acceptance of cryptocurrencies.
In response to the growing crypto trend, products like the Shift Card, a crypto debit card, emerged. However, these early iterations failed to gain significant traction, and the company eventually closed in April 2019 due to its high fees and limited value.
Realizing the potential of incentivizing users, companies like SoFi and BlockFi successfully attracted more users by offering crypto credit card services.
This approach of incentivization proved effective, and soon, a variety of fintech ventures from different sectors began to introduce their crypto credit card services, further expanding the reach and acceptance of cryptocurrencies in everyday financial transactions.
Why should you use crypto credit cards?
The list below details some reasons that draw people to crypto credit cards. The features are only sometimes common. It can vary from card to card.
- Cryptocurrencies are here to stay. Crypto rewards have the potential to grow into a substantial source of money over time.
- No biting the nail trying to convert your crypto to fiat. Your crypto debit card does it all.
- Some of the best crypto credit cards charge little to no service fees.
- If your expenditure crosses a specific amount, some fees may be waived as a reward.
The drawbacks of crypto credit cards
The opportunity cost involved in crypto payments can be very high. Let’s say you earned 100 points from your transactions redeemable in three months. In the first month, the market was bullish. Expecting it to climb higher, you waited for some time. However, contrary to your calculations, the market crashed, turning your rewards worthless.
Many crypto credit cards offer rewards in a limited number of coins or tokens, depending on the crypto ventures they collaborate with. This is a major turn-off, especially if the coin is on a downtrend.
Which are the best crypto credit cards?
1. BlockFi Bitcoin Rewards Credit Card
BlockFi is one of the first platforms to offer crypto credit card services. It functions just like any other credit card but offers exciting rewards in Bitcoin.
Key highlights and perks
- Rewards: Cardholders earn 1.5% back in Bitcoin on every purchase. After reaching $50,000 in annual spending, this rate increases to 2%. New cardholders can earn up to $100 in crypto during their first three months.
- Fees: No annual or foreign transaction fees are associated with the card.
- Additional benefits: The card includes a 0.25% back in Bitcoin on eligible trades. Referral rewards and other Visa Signature benefits, such as access to Visa’s Luxury Hotel Collection and travel protection, are also included.
- Referral program: Earn $30 in Bitcoin for referring new cardholders.
- Being a Visa Signature card gives added benefits like access to Visa’s Luxury Hotel Collection, rental car savings, travel and purchase protection, and more.
Who can apply?
Anybody with a decent credit score can apply. Pre-approved credit cards are offered to some.
BlockFi may be the first platform to introduce crypto rewards to credit cards, but it is definitely not the best. The reward rates are lower when compared to counterparts. The lack of real-time rewards is a turn-off. More importantly, reward coins are limited to bitcoin.
2. Gemini Credit Card
The Gemini Credit Card, which had previously generated considerable buzz before its release, is now available in the market. This card contrasts BlockFi’s approach by offering tiered rewards, aligning with its unique value proposition of “invest as you spend.” This feature allows users to earn different rewards based on their spending, which can be directly invested, showcasing Gemini’s commitment to integrating cryptocurrency investment and expenditure.
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Key highlights and perks
- Rewards: The Gemini Credit Card offers up to 3% back on dining, 2% back on groceries, and 1% back on other purchases, with rewards deposited in real-time into the cardholder’s Gemini account.
- Fees: No annual or foreign transaction fees are associated with the card. However, fees may be incurred for selling or converting crypto rewards.
- Eligibility and accessibility: The card is available to all 50 U.S. state residents. Applicants are required to have a Gemini Exchange account.
- Mastercard benefits: The card comes with standard Mastercard benefits, including protection against unauthorized purchases and identity theft.
- Security features: The card includes Mastercard Zero Liability Protection and Mastercard ID Theft Protection™.
- Cryptocurrency rewards: Rewards are available in Bitcoin, Ethereum, or 40+ other cryptocurrencies, and cardholders can change their crypto reward type at any time.
Who can apply?
Only U.S. residents with excellent credit scores can apply for the card. Currently, there is a waitlist for early access.
3. Coinbase Card
The Coinbase Card operates as a bridge between digital and traditional finance. This Visa debit card, introduced by Coinbase, enables customers to utilize the cryptocurrencies in their Coinbase accounts for everyday transactions, simultaneously rewarding them with crypto incentives.
Additionally, in 2024, Coinbase and the African stablecoin exchange Yellow Card formed a partnership. This collaboration aims to revolutionize the future of money by providing millions of users with access to USDC and enabling fast, reliable, and cost-effective transactions. This is achieved through their decentralized, open L2 Base, available through both Coinbase and Yellow Card products.
This initiative is a significant step in Coinbase’s goal of making cryptocurrency accessible to everyone, thereby expanding the reach and usability of digital currencies across different markets.
Key highlights and perks
- Rewards: The card provides up to 4% back in crypto rewards on purchases. The specific rewards vary depending on the cryptocurrency used.
- Fees: There is no annual fee for the Coinbase Card. However, it’s important to note that there is a 2.49% cryptocurrency conversion fee when spending crypto, as Coinbase converts your crypto into fiat currency for transactions.
- Spending: The card allows for crypto, USDC, or USD. The aforementioned conversion fee applies when spending crypto or converting it into cash at ATMs.
- Availability: The Coinbase Card is available to all U.S. Coinbase customers except those in Hawaii. It’s also accessible in several European countries and the UK, with plans for further expansion.
- Card security: The card has a mobile app that allows users to track spending and manage the card, including the option to freeze it for security purposes.
- ATM withdrawals: The card has fees associated with domestic and international ATM withdrawals over certain amounts. Specifically, any amount over 200 EUR/GBP per month is subject to a 1.00% fee for domestic ATM withdrawals and a 2.00% fee for international withdrawals.
- Limits: The Coinbase Card has daily, monthly, and yearly spending limits, as well as a daily ATM withdrawal limit.
Who can apply?
The Coinbase Card, available to residents of the United States, offers the convenience of using both cryptocurrencies, including USDC and U.S. dollars, for transactions. Accepted at all locations where Visa cards are used, this card is versatile for handling both traditional cash and digital currency (crypto) spending.
4. Nexo Card
Nexo Card is one of the few cards that offer credit backed by cryptocurrencies. It lets users unlock the value of digital assets while keeping their upside potential. The rewards can be redeemed either in NEXO tokens or Bitcoin.
Key highlights
- Allows holding and spending cryptocurrency
- Supports payments in local currencies
- Offers up to 4% cash back on purchases
- Includes a freeze/unfreeze feature for the card via a mobile app.
- Instant transaction notifications
- Enables borrowing up to $2 million with loans starting at 6.9% APR
- Specific details on monthly/annual fees and FX fees were not confirmed
Who can apply?
As of 2024, Nexo will only operate in some countries due to various regulatory and operational constraints. These countries include Bulgaria, the Central African Republic, Cuba, Canada, Estonia, Iran, the United States of America, North Korea, Syria, the Russian Federation, and specific regions like Donetsk, Kherson, Luhansk, Zaporizhzhia, and Crimea. Citizens not native to these countries may apply for a Nexo card.
Nexo Card offers security and convenience similar to any big banking enterprise. This includes features like instant freezing and real-time monitoring. However, borrowing fiat currencies against crypto holdings is not always the best idea due to the volatile nature of the market.
5. Crypto.com Visa Card
Crypto.com Visa Card offers flexible top-ups using crypto or fiat currency along with a crypto reward system. If you are looking for a convenient way to spend your crypto assets for everyday use, it will come in handy.
As a prepaid debit card, Crypto.com requires users to load crypto assets first. Then, it is used like any other payment card. The reward system is based on the number of tokens staked; the service is not as attractive as it seems to be.
Key highlights
- No annual fees: The Crypto.com Visa Card continues to have no monthly or yearly fees, making it an accessible option for users who prefer a fee-free card experience.
- Cashback on spendinh: The card offers varying rates of cashback, depending on the card tier. The highest tier, Obsidian, offers up to 8% cashback. However, achieving this rate requires a significant CRO stake, which might not be feasible for all users. The lower tiers offer reduced cashback percentages.
- Supported crypto: Supports over 170 cryptocurrencies
- Card tiers and benefits: The card has several tiers, each with its own staking requirements and associated benefits. The benefits include free ATM withdrawals up to a certain limit, rebates on subscriptions like Netflix, Spotify, and Amazon Prime (depending on the card tier), and airport lounge access for higher tiers. The top tiers also offer additional perks like rebates on Expedia bookings.
Who can apply?
Anybody who has staked the required number of CRO tokens for a minimum period of 180 days can apply for a Crypto.com Visa Card.
6. Wirex
Multicurrency Wirex travelcard makes international payments seamless with no fees or hidden charges. It lets users convert local currency at point-of-sale using the best possible interbank and OTC rates. Although the rewards are comparatively less attractive on Wirex, it provides an affordable way to switch currencies when traveling.
Key highlights
- International payments: Wirex cards automatically convert to local currency at point-of-sale using interbank and Over-the-Counter (OTC) rates, with no exchange fees. This feature is applicable for over 150 currencies.
- No annual fee: The Wirex card continues to have no annual fee.
- Rewards: The rewards program, known as Cryptoback™, offers up to 8% back in rewards on all purchases made with the card. These rewards are paid in X-Points, a unit of Wirex loyalty points.
- Free ATM withdrawals: ATM withdrawals are free up to a certain limit. While your information mentions SG$400, the most recent data indicates the limit is €400 per month (approximately $400), after which a 2% fee applies.
- Compatibility with currencies: Wirex supports spending over 150 currencies at live interbank rates.
7. SoFi Credit Card
SoFi, formally Social Finance, Inc., is a personal finance management platform committed to helping people from diverse backgrounds attain financial independence. Its mission extends to introducing the SoFi Credit Card, which fosters financial literacy and empowerment, especially among young adults. This card is distinct in encouraging users to expand their investment portfolios, encompassing traditional assets and cryptocurrencies.
The SoFi Credit Card rewards responsible spending and enriching financial experiences. It does so by allocating points or rewards for such behaviors. Cardholders can strategically utilize these rewards to enhance and diversify their investment portfolios, including investments in crypto assets.
Key highlights
- No annual fee: The card maintains a $0 annual fee, making it cost-effective for users.
- No foreign transaction fees: Users are not charged extra fees for transactions outside the U.S.
- Cash back rewards: The SoFi Credit Card offers up to 2% cash back on all purchases. In addition, there’s a 3% cash-back reward for bookings made through the new SoFi Travel powered by Expedia.
- Cell phone protection: Cardholders can benefit from up to $1,000 in insurance coverage.
- World Elite Mastercard benefits: Include perks like monthly Lyft credits, a free annual Shoprunner membership, and a 3-month free trial for DashPass.
Who can apply?
Individuals with good to excellent credit scores who reside in the U.S. are eligible for SoFi credit cards.
One of the major drawbacks of SoFi Credit Card is that eligible purchases are limited. Payment of fees, interest charges, balance transfers, cash advances, and loading of prepaid cards are ineligible for rewards. Despite that, SoFi is one of the most promising fintech platforms in the personal finance management space. If you are already a SoFi user, the crypto rewards will help you leverage more value from the platform.
Should you get a crypto credit card?
In 2024, the crypto credit card sector will be diverse, each offering unique rewards and features tailored to the evolving needs of cryptocurrency users. These cards range from those providing practical utility to others offering enticing rewards, with options for credit-based usage or pre-loaded funds. Ultimately, the card choice should depend on individual preferences and requirements, as each card varies regarding credit score needs and fee structures. Users can expect further innovations and enhancements to these financial tools as the crypto credit card market evolves.
Frequently asked questions
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