How to Choose a Crypto Card in Australia
Roughly one in five Australians now own crypto, but their ability to spend it on real-world goods and services has been limited over the years. However, there are more and more options now available when it comes to allowing users to actually spend funds on whatever they like.
Choosing a debit card, of course, is easier said than done, with many different options available. Instead of listing off all the possible options, this article aims to teach you, as a potential user, how to evaluate a crypto debit card on its merits and choose the one that suits your needs.
What Are Crypto Debit Cards?
Crypto debit cards allow users to spend cryptocurrencies on real-world goods and services, as well as to withdraw crypto as cash from ATMs in most cases. They facilitate cash withdrawals from ATMs and can be used for both online and offline transactions. Of course, instead of linking to a bank account, these cards link to a cryptocurrency wallet instead.
Typically, issuers of these cards collaborate with payment networks and service providers like Mastercard and Visa to furnish users with crypto debit card options.
What Are Crypto Cards For? The Benefits
Crypto cards allow for a smooth off-ramp, or cash out, from crypto to fiat without as many steps as would be involved otherwise. Simply put, by allowing users to spend crypto directly, crypto cards save them the hassle of transferring crypto to an exchange, manually converting the crypto to fiat, and withdrawing the fiat to their bank account in a transfer that might take days.
Some crypto cards also provide cashback or other features that benefit the user.
How to Choose a Crypto Debit Card in Australia
If this is your first time using a crypto debit card, you may not be aware of the features it offers. Consider the following factors when choosing a crypto debit card for your wallet.
Supported Cryptocurrencies
Research shows that the most popular coins for spending in Australia are Bitcoin, Ethereum, and stablecoins in that order. However, some cards offer many more options besides these, catering to users who may wish to spend their altcoin portfolio directly.
Before choosing a card, check that it supports your cryptocurrency of choice, or that the issuing app allows you to easily swap your crypto of choice to a crypto supported on the card.
Fees
Crypo cards charge a fee for each transaction, and in some cases, for converting crypto to fiat as a separate fee. Check the Fees page of each crypto card provider to make sure you have a clear picture of how much it costs to use the card. Some providers may have so-called “hidden fees,” simply meaning fees that are not immediately apparent, but this information should all be there in the Fees section of the website.
You may also want to consider the fees for swapping cryptocurrencies in the provider’s swap or exchange service, if they offer such a service.
Merchant Adoption and Card Issuer
Merchant adoption is a key point that needs to be considered. Some crypto cards are offered by smaller issuers who may not be accepted in all brick-and-mortar stores, or even online ones. In fact, some cards are issued by service providers that are not eligible for service in entire nations or jurisdictions, greatly limiting the usefulness of the card.
Going with a reputable issuer such as Visa or Mastercard will ensure that your card is accepted at basically every cash point on the planet.
Regulatory Compliance
The Australian financial regulator is called AUSTRAC. If you’re looking for an Australian crypto card, the card company should be regulated and approved by AUSTRAC. Alternatively, if your card provider is not based in Australia, check to see whether they are regulated, and by what regulatory body, before committing to anything.
It’s considered a best practice to only deal with regulated entities in the crypto industry to ensure maximum security and the best user experience possible.
Rewards and Other Features
Several crypto debit cards feature cashback initiatives or incentives like staking. To optimize benefits, compare various cards and select the one that suits your needs and expectations the best. Take a good look at the rewards program, if any, to make sure there are no hidden restrictions or clauses that might not be easy to catch at a glance.
If there are cash rewards, check what currency they’re issued in and whether you need to stake a certain amount of crypto before qualifying.
Try Grineo!
If you’re looking for an Australian crypto debit card, check out our own Grineo crypto card! The Grineo card will be available from Q2 2024 and allows Australian residents to spend crypto like cash on real-world goods and services anywhere on the planet. You can tap or swipe your card to spend crypto, or even withdraw crypto as cash from an ATM anywhere in the world!
Grineo offers stellar customer service, a common pain point mentioned by crypto users, and a seamless crypto off-ramp experience. At the moment, we support BTC, ETH, USDT, and USDC on our wallet app and swap service, meaning you can store and swap all four cryptos with ease. The card links to your wallets and allows you to spend or withdraw USDT and USDC, with support for more cryptos underway.
Sign up to the Grineo card waitlist here!
