San-Francisco-based digital currency exchange Coinbase has decided to launch a visa debit card – „Coinbase Card“ – which will enable its customers in the U.K. and the EU to pay in-store and online with cryptocurrency. The news was announced in a blog post published on April 10th.
Following this partnership, the exchange aims to facilitate the payment process, stating that the Coinbase Card will be supported by the customers‘Coinbase account crypto balances, allowing them to purchase goods for everyday necessities worldwide.
Users will be able to spend their Bitcoin (BTC), Ether (ETH), Litecoin (LTC) and other cryptocurrencies “as effortlessly as the money in their bank.” Coinbase claimed it will instantly convert cryptocurrency to fiat currency, such as the British pound (GBP), whenever customers complete a transaction using the debit card. The card supports all digital assets available for purchasing/selling on the Coinbase platform.
To help customers with managing their funds, the exchange platform has decided to launch an app for the Coinbase Card on iOS and Android, which gives customers the option to select which cryptocurrency wallet they will use for their purchases. The application offers immediate access to receipts, transaction summaries and spending categories amongst other available features.
Customers can download the iOS or Android app straightaway and securely link it with their Coinbase account. Once linked, the Coinbase balance will be immediately available. This is the first debit card to link directly with a major cryptocurrency exchange in the U.K. and EU.
Previous similar products required customers to deposit a certain amount of cryptocurrency onto the card before purchasing goods. Meanwhile, Coinbase announced that for the first 1,000 customers, the exchange will waive the card issuance fee of £4.95.
Electronic money institution Paysafe Financial Services Limited will issue the Coinbase Card. Customers can make contactless, chip and PIN payments as well as withdraw cash from ATMs.
At the moment, the card is only available for U.K customers. Coinbase said the exchange plans to add support for other European countries in the near future.
In a similar move, banking startup 2gether announced last month that it was launching a prepaid Visa debit card which enables users to spend cryptocurrencies. According to the company, the 2gether card will enable its customers to process payments with either Euros cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Bitcoin Cash (BCH), EOS, Stellar (XLM) and Litecoin (LTC).