Asia’s first Crypto Visa Debit card is all set to take on credit cards while promoting interest in digital assets as Crypto.com previously known as Monaco gets ready to roll out 100,000 such cards, starting in Singapore. The company is also planning crypto-money lending services.
Promoting interest in digital assets with Asia’s first crypto Visa debit card
Cryptocurrencies are leaving no stone unturned to take over the world one step at a time. Adoption is already growing at the local and global level both. Now, the first cryptocurrency Visa debit card is being released by the Hong Kong-based blockchain startup Crypto.com rebranded from Monaco in July.
The company shared that its partner bank has applied to issue the cards in the city. Starting with Singapore, the company will ship over 100,000 cards to the customers globally over the course of two months.
By tapping this market, the company is offering a new product that according to the co-founder and CEO of Crypto.com, Kris Marszalek will help the customers it the following manner:
“To holders of cryptocurrencies, having the peace of mind that you can readily convert back into fiat currencies and cash out is very important.”
Marszalek further shared that the plan is to promote people’s interest in digital assets:
“Not all exchanges support crypto-to-fiat transactions, and even if you hold your digital assets at the exchanges’ wallet, the withdrawal process is also complicated. We believe our product addresses a real need, and enhances trust in digital assets.”
Disrupting the credit card industry with cryptos
This is not all, Crypto.com is also planning to apply for money lending license in Hong Kong and Singapore. Apparently, the company wants to venture into and recognize itself as the crypto-backed money lender instead of just a crypto debit card platform. This means, if the plans of the company work out, the crypto Visa cards’ holders and crypto wallet users will be able to get loans in collateralization of Bitcoin and Crypto.com’s native token MCO.
The partner bank of the company is Wirecard Bank of Germany that already has a stored-value facility license from the Monetary Authority of Singapore. Marszalek is expecting its debit cards and lending service to disrupt the credit card industry.
Marszalek further shares his idea to eliminate the “unethical business” of banks:
“The credit card business model is one that is bordering on unethical business, as banks make a big chunk of profit from people who cannot afford late fees. These people should not be given a credit card in the first place.”
The loan process will involve KYC and would only allow the fiat borrowing capacity of 40 to 60 percent value of cryptos that must be pledged as collateral.
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