BlockFi has introduced an innovative product, BlockFi Bitcoin Reward Credit card. With the bitcoin rewards credit card, you will be earning back bitcoin for every purchase you make. This service is available to clients with BlockFi funded accounts in the BlockFi app. There isn’t a crypto reward credit card available in the market so far. At the initial stages, the BlockFi credit card will be available only to customers within the US. However, customers outside the US are advised to join the waiting list.
Benefits of Bitcoin Reward Credit Card
There are benefits that one enjoys with BlockFi Credit Card. They include:
- They provide purchase protection
- Users earn greater rewards
- Build credit over time
How BlockFi Bitcoin Reward Credit Card Works
When a cardholder makes a purchase, he earns a 1.5% cashback which is then converted to bitcoin, It will then be placed in the BlockFi account. Since this cryptocurrency is deposited in the BlockFi account, it is also a way of funding the account. You can withdraw these bitcoin rewards, while they can also earn interest, or used as collateral in crypto-backed loans.
BlockFi credit card annual fee: Initially, the crypto card had a $200 annual fee. BlockFi removed the fee early this year to become more competitive.
BlockFi Credit Card Benefits
- Bitcoin credit card rewards. BlockFi Bitcoin credit card offers 1.5% back on every purchase you make.
- Annual rewards. For every dollar you spend over $50,000 annually, you’ll earn 2% back. You will also be able to earn higher rewards rates with certain merchants.
- Pay bills. Cardholders will be able to pay their bill with stablecoin assets in addition to U.S. dollars.
- Extra APY. In addition to the current stablecoin APY in your BlockFi Interest Account, you will receive up to an extra 2% APY.
- Bitcoin trading rewards. As a cardholder, you will receive 0.25% of your trading volume on BlockFi back in the form of bitcoin rewards (up to $500 per month).
- Flexibility. You can choose which cryptocurrency you want to receive in rewards.
Add users. You are able to add authorized users to their accounts.
Referral rewards. You receive a bonus if you refer friends who get approved. You will get $40 per friend for the first four referrals, then up to $50 per friend after that.
Why is BlockFi Reward Credit Card a Big Deal?
Although there are debit cards that offer bitcoin rewards like CoinBase and Fold, this one does not offer you points as rewards. Instead, it is offering bitcoin and other currencies as a reward. The BlockFi Reward Credit Card has been seen as a great product since it is for the first time a bitcoin logo has been featured on a physical card. Besides, the 1.5% bitcoin reward rate is so far the highest in the market and it also awarded for every purchase. This gives it a greater distinction from all the other rewards in the market.
Visa Credit Card
The Bitcoin Reward Credit Card has been availed due to the partnership between Visa and BlockFi. It is the first-ever credit card to offer bitcoin rewards. The credit card is available to all US residents in all states except New York. It is because there are still regulatory restrictions within the state. Evolve Bank & Trust will issue the card while Deserve will be power the technology to manage the card.
Final Thoughts on BlockFi Bitcoin Credit Card
BlocFi Bitcoin Reward Credit card is the first credit card to offer cryptocurrency rewards. This is an excellent way to grow your crypto assets and fund your BlockFi account. In addition, the bitcoin rewards you earn for every purchase can earn interest and be withdrawn. Additionally, you can use bitcoin rewards to back crypto loans. You can get the card if you are a resident of the U.S. If you are a non-resident, you can join the waiting list.