Cryptolending platform BlockFi has launched a Visa credit card with a 1.5-2% cashback in bitcoin for US customers.
The company announced similar plans in December 2020. So far, the waiting list has exceeded 400,000 people. BlockFi CEO Zack Prince expects the company to meet its commitment to them by the end of July.
Cashback for BlockFi's Rewards Visa Card holders will be 1.5% per purchase. The reward will rise to 2% for purchases over $50,000 a year. New customers will be able to expect a 3.5% rebate for the first 90 days or until the amount of the cashback reaches the equivalent of $100.
BlockFi has set a zero maintenance fee. There are also no foreign transaction fees. There is a 0.25 per cent rebate on the firm's platform for trading fees paid.
"It has been 11 years since the first bitcoin payment transaction. Our offer will be a new milestone in the history of the industry. The card will make it easy to earn bitcoins simply by making everyday purchases," said Flori Marquez, co-founder and vice president of operations at BlockFi.
The cryptolending platform has offered the option of getting bitcoins without having to register on an exchange and pay commissions. It would be able to attract customers and earn from the fees accrued on each purchase by cardholders, Forbes wrote.
"Cryptocurrency cashback programs are an effective way to engage consumers in the crypto economy," commented Terry Angelos, vice president and head of Visa's fintech division.
To recap, Visa cryptocurrency cardholders spent more than $1 billion with their cards in the first half of 2021.
In April, cryptocurrency exchange Gemini signed an agreement with Mastercard and WebBank to issue a credit card in the summer of 2021 with the ability to cashback in bitcoin or one of 30 other cryptocurrencies.