U.S.-based Crypto exchange Gemini and Mastercard are joining hands to launch the first credit card offering digital currency rewards on purchases. Gemini has further disclosed its credit card details that will rewards users in crypto. The credit card will be introduced this summer in collaborations with Mastercard and WebBank. Gemini first revealed its intentions to launch a crypto credit card earlier this year with the takeover of Blockrize, a startup that was previously operating on cryptocurrency reward systems. The takeover stimulated the launch process.
Furthermore, as per the reports, the card will provide 3% rewards on spends that will be shared in BTC or any other digital currencies backed by Gemini. The rewards will be attributed in real-time, indicating that the cardholder will receive the cryptos instantly at the purchase. Moreover, the exchange will not impose an annual fee on the cardholders. It will deposit the cardholder’s digital currency in the Gemini Account. Additionally, Utah-based WeBank will issue the card in the United States.
Gemini Offers Cash Back Via Crypto Rewards Card
Gemini follows significant crypto exchanges such as Binance and Coinbase in introducing a crypto credit card as holders explore how to employ their coins in real-world situations. The Gemini card will provide users 3% cash back on dining purchases, 2% on groceries, and 1% on other purchases. The rewards will be paid back to the user in real-time when the transaction takes place. Furthermore, though the Gemini credit card will be accessible only in the U.S., it will be received by all the merchants on the Mastercard network.
Linda Kirkpatrick, the president of Mastercard’s North American operations, elucidated that the financial firm was pleased to offer more alternatives for consumers by allowing crypto payments and rewards. Further, Tyler Winklevoss, the co-founder of Gemini, elucidated that credit crypto cards were an excellent way to provide users with an entry point to the crypto space without them having to transform their prevailing spending habits.
In February, Mastercard had opined to provide support for some crypto on its network later this year. This decision is just the most advanced in payment services stepping up their commitment with cryptocurrencies. Last month, PayPal introduced “Checkout with Crypto.” This allows PayPal’s American customers to pay with ether, bitcoin, bitcoin cash (BCH), and litecoin (LTC). It operates by switching holdings into U.S. dollars through checkout, with no additional transaction charges. Further, users can only spend with one cryptocurrency per transaction.