How do Crypto Credit Cards Work?

We all know the purpose of debit and credit cards. Since the first prototype of charge plates, Charga-Plate was used back in late 1920 this is a trend that constantly evolved throughout the years. It is not certain what percentage of the global population has one of these, but several sources are noting that about 50% of people in the world at least had one debit card during their lifetime. Their functionality is now well known even though there were some uncertainties about them in the past.

Nowadays, we even have a direct conversion between several currencies directly on credit cards themselves. Moreover, with the introduction of the internet people got the opportunity for online shopping. This is something that’s not unusual for this day and age, but twenty years ago, it was nothing short of unimaginable.

Nowadays, after cryptocurrencies, or cryptos, were introduced, we have a totally new perspective. We had the concept of e-money with debit cards, but cryptos bring something entirely new to the table. It was just a matter of time before the echo of credit cards, as an invention, reached digital currencies. Now, we have the pleasure of introducing crypto debit ones.

The whole concept behind these is slightly different than the usual credit cards. If you are interested in learning about crypto credit cards in greater detail, you should check talk-business out. Anyway, we are going to get deep into their functionality. Especially, we are going to talk about their functionality and what they actually are. We know time is essential, so we are going to start with the article now.

What is Crypto Credit Card Exactly?


We can say that the concept between digital currency credit cards and the basic ones is pretty much the same. The difference is, a crypto debit card is a prepaid debit card people use for storing their digital currency. Before you are able to use one of these, you will need to create your own e-wallet. That way you will have all of the cryptos at your disposal. Using them as a method of payment immediately comes to your mind.

This means that you can use them in shops where they are accepting any kind of transactions. Usually, digital currency ones are issued either by MasterCard or Visa. So, you can imagine the whole concept. This makes them pretty easy to use. However, there is one problem with this whole idea. Usually, people who own Bitcoin, or any other digital currency don’t buy them for the purpose of spending them. They buy them as an investment.

Why Should You Use it?

Crypto transactions can either be done through plastic credit or selling them on market or simpler, for trading. Here is where you can really see the echo of basic credit cards we’ve mentioned earlier in the article. There are other methods of the transaction from digital currencies into, let’s say, fiat currencies. Thankfully, we have the opportunity to use exchanges like Gemini or Coinbase that will help your transfer any cryptocurrency into any other currency.

However, when we are talking about having cryptocurrency credit cards, they have a slight advantage when compared to all other options. Instead of going through all of these exchanges, you will have the sum you want immediately on your charge plate. If you want to do a transfer with a particular bank, there is one more step it will be required of you to complete.

How do They Work?

We are going to guide you through the crypto credit card’s modus operandi step by step.

  • Registering an e-wallet
  • Buying digital currency
  • Applying for a credit card
  • Making a connection between a credit card and a wallet
  • Using wallet as the main source for funds for card
  • After paying all the required fees, you will be able to exchange cryptos into any other currency

What are the Types of Crypto Credit Cards?

When it comes to the types of crypto credit cards, there are two of them, virtual and physical. With virtual ones, you are going to get the security code and the number of your account. You can use them only for shopping online. Physical type has the same concept as those that we already use. You can use them for shopping wherever there is a possibility for this kind of transaction.

Benefits of Cryptocurrency Credit Cards


Since a crypto credit card is a new invention, if we could say like that, there are many uncertainties about why we should actually get one of these. Therefore, we are going to present you with three main benefits of having one of them.

  • Making everyday payments

We can say that when it comes to making everyday payments, these have the same function as all of the ones you already have. The only difference is that you are going to use your digital currency, transferred into any other currency, for paying monthly bills and shopping whenever you feel like it.

  • Having different currencies at your disposal

Having a crypto credit card means that you have access to any currency in the world you might want to use at a particular moment. You can choose between all the main ones in the world like the US dollar, Canadian dollar, EURO, Japanese yen, Russian ruble, etc.

  • Money transferring

By using one of these, you can make any kind of transaction to any place in the world. The best thing is that you can do it anytime. Also, if you have at least some knowledge about crypto transactions, you know that these transactions are almost instant. It is not the same situation as with banks where you need to wait for a certain amount of time before transactions are complete. Moreover, you can remain completely anonymous.

Last Thoughts

Even though we cannot say that the crypto credit card is not the newest concept introduced, we can say that it is a particularly interesting one. With these, you will have the option to access all of the benefits that are offered by usual ones, but at the same time, you are going to get all of the benefits offered by digital currencies.