Do you need a bank account to get a crypto debit card? The answer is no. Cryptocurrency debit cards are an excellent way for crypto enthusiasts to spend their digital assets just like any other card in their wallet or phone. These cards are linked to your existing cryptocurrency holdings, and the process focuses more on verifying your identity and ensuring security. Unlike traditional credit cards, which usually require a credit check and a good credit score, crypto debit cards don't usually meet these requirements.
Some may require users to validate their identity through the Know Your Customer (KYC) verification process. You can get a crypto debit card on the cryptocurrency exchange platform you use, if it offers it, or from a cryptopayment service provider. You'll need to order or request the card, and you may have to meet some requirements, such as having your identity verified. If you're looking for more retailers to accept cryptocurrency so you can pay with it directly, a crypto debit card might be the perfect solution. Among the cryptographic debit cards we've evaluated, Monolith stands out as one of the most anonymous options.
While cryptographic debit cards offer a convenient way to use their digital assets, users of cryptographic debit cards should keep in mind that every transaction with a cryptographic debit card generates a taxable event with potential implications for their tax obligations. Crypto debit cards vary, just like traditional debit cards, so the right one for you depends on what you're looking for. Some cryptographic debit card providers may require a social security number to meet “Know the Customer” (KYC) requirements, but few, if any, will check your credit report before issuing a card. The Coinbase VISA card is directly linked to your Coinbase wallets, meaning you won't have to preload cryptocurrency like you would with most crypto debit cards. Using an app or website, an investor precharges a crypto debit card with a fixed amount of cryptocurrency. The BitPay card supports Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), Dogecoin (DOGE), Shiba Inu Coin (SHIB), Litecoin (LTC), Dai (DAI), Wrapped bitcoin (WBTC), Gemini USD (GUSD), USD Coin (USDC) and Binance USD (BUSD).
Some crypto debit cards also offer rewards such as cash back (sometimes in cryptocurrency), points, or other benefits. Instead of withdrawing funds from a checking account, crypto debit cards come preloaded with cryptocurrency from the user's preferred crypto wallet. BitPay has made the registration and approval process for the BitPay prepaid debit card fast, easy and secure. Cryptographic debit cards are used to make purchases online or in person, just like traditional debit or credit cards. From there, you can transfer the desired amount of funds to complete the balance of your crypto debit card.
