|

Cryptocurrency startup BlockFi has announced it will launch its bitcoin rewards credit card in the first quarter of 2021.

Through the card, users will receive a 1.5% cashback for every transaction made through the card, which will then be converted to bitcoin and placed into a BlockFi account in a regular monthly cycle.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

According to Zac Prince, BlockFi CEO, the new offering will be the first of its kind. He said: “A lot of the debit cards that exist in the crypto ecosystem are the kind that are oriented around this idea of spending your crypto, which at least clients at BlockFi are not interested in doing. They want to hold their bitcoin and earn a yield on it.”

How it works

After applying and being approved for the card, customers will receive a credit limit in USD. Customers can then spend this limit each month, and if they pay their statement balance on time they will not be charged interest.

For every transaction that customers make, 1.5% cashback will accrue, which will automatically be converted to bitcoin and placed in a BlockFi account.

BlockFi is also offering a signup bonus of $250 in bitcoin after spending $3,000 or more on the card within the first three months. In addition, the card will have an annual fee of $200.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The company also has plans to add more features and offers over time. Prince added: “We’re not announcing what we’re going to do in year two yet. We intend – like we’re doing in year one – to make it as much of a no-brainer decision as we can for folks to hold the card.”

Visa is acting as the card issuing network, Evolve Bank & Trust provides the BIN, and Deserve is managing the payments flow technology.

The card will initially be available in the US only, but BlockFi has encouraged those from outside the US to join the waiting list so the fintech can let them know when the card is available in their region.